LG Chem denies plans to advance China ABS startup

04 June 2002 02:14  [Source: ICIS news]

SINGAPORE (CNI)—South Korean petrochemical major LG Chem has denied local media reports that it is planning to advance the startup of its 230 000 tonne/year acrylonitrile butadiene styrene (ABS) expansion project at Ningbo, China, by two months to August.

LG Chem told CNI on Tuesday that it is keeping to its startup date of September or October this year - at least nine months earlier than its original startup date.

The company moved forward the startup to September or October this year from mid-2003, with construction being completed in mid-2002.

The company is expanding its ABS production to 230 000 tonne/year from 150 000 tonne/year. A further capacity increase at the plant in Ningbo to 300 000 tonne/year will be completed at end-2002, with commercial startup in Q1 next year.

LG Chem will boost its total ABS capacity to 1m tonne/year by 2006. It will invest $5.6m to expand its ABS capacity to 430 000 tonne/year from 350 000 tonne/year at Yosu, South Korea. It will also invest $29.4m at its Ningbo plant.

To achieve the remaining 40% capacity increase and achieve its long-term strategy of 1m tonne/year of ABS by 2006, LG Chem will reinvest in its ABS plant in Ningbo from 2005. This will add 200 000 tonne/year of ABS capacity to the company’s facilities.

LG Chem operates its China plants throught its subsidiary Ningbo LG Yongxing.

By: Iqbal Anand
+65 6780 4359

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