Hyundai Oilbank, the South Korean petroleum and refinery company has been reportedly working across industries to reduce its environmental effect.

The South Korean oil corporation announced on October 17 that it had struck a business deal with retailer LG Household & Health Care and petrochemical manufacturer Lotte Chemical to launch its joint eco-friendly plastic initiative.

As per the agreement, the three firms will jointly introduce plastic goods made entirely from components obtained through the pyrolysis of scrap plastics, where waste plastics are heated in an oxygen-free environment to break them down into useful compounds.

By adding pyrolysis products to its recently established Hyundai feed Petrochemical Complex (HPC), Hyundai Chemical, a strategic joint venture between the refining company and Lotte Chemical, will oversee producing the eco-friendly plastic, while Lotte Chemical will manage the development of products for which the plastic can be used.

LG H&H meanwhile will use plastic to make household goods and package its beauty items in January 2023 using environmentally friendly plastic packaging. Eventually, packaging for detergent and other home supplies will also be made of environmentally friendly plastic.

Hyundai Chemical claims that its HPC plants can generate up to 30,000 metric tons of plastic annually. On October 12, the HPC facilities were officially opened. It stated that the company is thinking about increasing the facility's manufacturing capacity to 100,000 tons.

In the meantime, as part of its plan to develop bioplastic, Hyundai Oilbank also inked an MOU with US biopolymer producer Danimer Scientific in January.

Plastics made from plants or other biomass are known as bioplastics.

In accordance with the agreement, a pilot bioplastics factory will begin operations in Korea by 2024, and commercial bioplastic facilities will begin operations in 2030.

Hyundai Oilbank stated that it has been prioritizing environmental, social, and governance performance since the launch of its ESG report last year. According to the company, it is stepping up its carbon reduction initiatives in response to consumer demand for environmentally friendly business operations.

Source credit: https://www.koreaherald.com/view.php?ud=20221031000446