Japan s JX Nippon Oil & Energy has signed a joint venture (JV) agreement with South Korea s SK Global Chemical to set up a one million mt/year paraxylene (PX) plant at Ulsan, South Korea s seventh largest metropolitan city.
The two companies will form a 50:50 joint venture company to build the new plant at an estimated cost of Yen 80 billion or approximately USD one billion. The new PX plant will be established at SK s 840,000 b/d refinery in Ulsan and commercial operations are scheduled to begin in 2014.
SK Global Chemical is the leading petrochemical company in South Korea and is a wholly-owned subsidiary of refiner SK Innovation. JX Nippon Oil & Energy Corporation is into refining and marketing of petroleum and petrochemical products, besides other items.
The decision to set up a PX plant through a joint venture is in line with an agreement in January 2007. The decision acquires importance in view of the rising PX demand for polyester production.
Currently, SK Global Chemical has a total PX production capacity of 758,000 mt/year, while JX Nippon Oil & Energy has production capacity of 2.62 million mt/year.
The two companies will form a 50:50 joint venture company to build the new plant at an estimated cost of Yen 80 billion or approximately USD one billion. The new PX plant will be established at SK s 840,000 b/d refinery in Ulsan and commercial operations are scheduled to begin in 2014.
SK Global Chemical is the leading petrochemical company in South Korea and is a wholly-owned subsidiary of refiner SK Innovation. JX Nippon Oil & Energy Corporation is into refining and marketing of petroleum and petrochemical products, besides other items.
The decision to set up a PX plant through a joint venture is in line with an agreement in January 2007. The decision acquires importance in view of the rising PX demand for polyester production.
Currently, SK Global Chemical has a total PX production capacity of 758,000 mt/year, while JX Nippon Oil & Energy has production capacity of 2.62 million mt/year.
