South Korea's S-Oil plans Phase 2 petrochemical project

S-Oil Corporation has successfully started up the Phase 1 petrochemical project in Ulsan and currently working to stabilise the production rate. Phase 1 includes a Residue Upgrading Complex (RUC) that produce 780,000 tons/year of propylene and two downstream units that are designed to produce 405,000 tons/year of polypropylene (PP) and 300,000 tons/year of propylene oxide.

The company is proposing the Phase 2 project to build a steam cracker and other basic petrochemicals from naphtha including polyethylene (PE) and polypropylene (PP). 

S-Oil did not disclose the timeline or the final investment decision on the Phase 2 project, however, said that it would pump in more than 5 trillion won (USD 4.4 billion) into the plan until 2023. The proposal is now seeking government approval.