Hyosung starts expansion of Ulsan propylene factoryHyosung, one of the nation’s major chemical companies, said yesterday it started expansion of its propylene plant in Ulsan.
The company will invest 280 billion won ($266 million) to complete construction by May 2015.
The new facility, which will be built on 27,000 square meters (6.6 acres) of land near its Yongyeon plant, will produce 300,000 tons of propylene in a year, bringing the company’s annual production to 500,000 tons.
Propylene is used for making polypropylene, which is used for plastics, pipes and syringes for medical use.
Hyosung said the decision was based on expectations that prices of propane, a raw material used for making propylene, will drop due to shale gas development in North America.