Seoul (ANTARA News/Yonhap) - Hyundai Oilbank Co., South Korea`s fourth-largest refiner, and Lotte Chemical Corp., a South Korean petrochemicals maker, said Wednesday that they initialed a deal to build a plant in the southwestern part of the country.

If the deal is finalized, the two companies will jointly spend 1 trillion won (US$900 million) to build the plant, which will produce 1 million tons of mixed xylene and 1 million tons of light straight-run naphtha in Seosan, a coastal city 151 kilometers south of Seoul.

Mixed xylene is used as a solvent for paint and pesticide, while light straight-run naphtha is used as raw material for petrochemicals.

The plant is scheduled to be fully functional in the second half of 2016.
(T.A045/H-AK)

Editor: Priyambodo RH
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