Category

Countries

LG Chem Announces Shutdown of Phenol and Acetone Production in Daesan
LG Chem Announces Shutdown of Phenol and Acetone Production in Daesan

LG Chem Announces Shutdown of Phenol and Acetone Production in Daesan

  • 14-Feb-2024 7:37 PM
  • Journalist: Li Hua

LG Chem, a prominent player in the South Korean petrochemical industry, has announced its plans to temporarily cease phenol and acetone production at its Daesan facility in South Korea. This unscheduled maintenance, set to take place from March 23 to April 5, is necessitated by a mechanical failure at the plant. With an annual capacity of 300 thousand tons of phenol and 180 thousand tons of acetone, the facility will operate at a restricted capacity of 70% during the repair period.

This is not the first instance of LG Chem facing operational challenges requiring unscheduled maintenance. In a prior incident on July 17, 2023, the company had to shut down production at its polycarbonate (PC) plant in Yeosu, South Korea, due to unforeseen issues. The temporary closure affected two production lines with a combined capacity of 170,000 tonnes of PC per year. The shutdown lasted for approximately one week, addressing the production breakdowns that occurred at the Yeosu site.

LG Chem, recognized as one of the world's largest chemical companies, is deeply involved in the production of a diverse range of products, spanning petrochemicals to advanced plastics. The company's prominence in the industry is further emphasized by LG Group's substantial investment of USD 3.3 billion in 2013, aimed at bolstering the petrochemical business. Part of this investment is allocated to expanding the production capacity of LG Chem's subsidiary, focusing on the manufacturing of ethylene vinyl acetate (EVA) and styrene butadiene rubber.

Turning attention to the present situation, the Daesan plant's scheduled maintenance underscores the importance of proactive measures to address mechanical failures and maintain operational efficiency. By temporarily halting phenol and acetone production, LG Chem aims to rectify the issues within the specified timeframe, ensuring the reliability and longevity of its production facilities.

While the precise details of the mechanical failure leading to the need for maintenance have not been disclosed, LG Chem's commitment to addressing such challenges promptly reflects its dedication to maintaining high standards of production and product quality. The restricted operating capacity during the repair period is a strategic decision to prioritize the long-term stability of operations over short-term output.

In the broader context, the petrochemical landscape in South Korea is marked by the significant presence of LG Chem, contributing to the nation's standing as a major player in the global chemical industry. The company's diverse product portfolio, ranging from petrochemicals to cutting-edge plastics, underscores its role in shaping various industrial sectors.

As LG Chem navigates the challenges posed by unscheduled maintenance, the incident also sheds light on the inherent complexities and potential disruptions within the petrochemical manufacturing sector. The resilience demonstrated by LG Chem in addressing such challenges positions it as a key player committed to the sustainable and efficient production of chemical products.

Related News

Mitsui Chemicals Announces Closure of Phenol Plant at Ichihara Works
  • 05-Apr-2024 11:05 AM
  • Journalist: Francis Stokes
German Phenol Prices Ignite Amidst Supply Constraints and Raw Material Costs; South Korea Holds Steady
  • 03-Apr-2024 3:18 PM
  • Journalist: Jung Hoon
Sinopec Increases Phenol Prices in East China
  • 19-Feb-2024 6:47 PM
  • Journalist: Li Hua
European Phenol Prices Turn Bullish, Contrary to Stagnancy in Asia in Mid-Q1
  • 15-Feb-2024 2:36 PM
  • Journalist: Patrick Knight