Industry

Lotte Chemical announces venture with Italian partner

Lotte Chemical said yesterday it established a joint venture called Lotte Versalis Elastomers in partnership with Versalis, an affiliate under Italy’s Eni Group. Representatives of both companies participated in a signing ceremony on Thursday in Brussels.

The joint venture will have a facility in Yeosu, South Jeolla, that can produce 200,000 tons of SSBR (solution styrene-butadiene rubber) and EPDM (ethylene propylene diene rubber) in a year.

Lotte Chemical said the construction will begin next year and it plans to be fully operational starting in 2016.

SSBR is used in tire manufacturing, while EPDM is used in making tubes and hoses.

Lotte Chemical said that setting up such a facility will generate revenue of 600 billion won and also could produce an estimated 150,000 jobs in related industries.