Honam Petrochemical is a producer of high density polyethylene (HDPE), polypropylene, mono ethylene glycol (MEG), ethylene, propylene, benzene, compound polypropylene, and other petrochemical products, providing plastics, synthetics and basic chemicals. It holds the largest shares in HDPE, polyethylene and MEG in the Korean market.
History
The company was founded in 1976.
In 1992 the company added a naphtha cracking plant and aromatic compound facilities to its plant site at the Yeosu Petrochemical complex.
In 2001, it increased its production capacity of ethylene to 700,000 tonnes/year.
In 2004, the company acquired KP Chemical (it has a 52.5% share). Also in 2004, it acquired a 100% share of Lotte Daesan Petrochemical.
Company movements
In January 2009, Honam Petrochemical completely absorbed its 100% subsidiary Lotte Daesan to operate its businesses more efficiently under a single entity.
The company produces:
Polyethylene
High density polyethylene (HDPE) has various characteristics including high flowability, stiffness, impact resistance, electrical insulation, mouldability and cold resistance which is used in general housewares, fish net, rope insulated cable, chemical containers, automobile fuel tanks, pipes, films (agricultural and industrial packaging).
The company developed the catalyst for HDPE polymerisation in the early 1990s. Based on this, various products made for floor heating pipes, gas pipes, and automobile fuel tanks were developed for the first time in Korea and sold to domestic and foreign markets.
Low density polyethylene (LDPE) is produced employing ExxonMobil’s autoclave process. Injection products are used mainly for lids of various containers and general goods that have low density improving the transparency and flexibility.
Linear low density polyethylene (LLDPE) is produced using the Unipol gas phase process, producing mainly film type products such as stretch wrap or agricultural film.
Ethylene vinyl acetate copolymer (EVA) is produced employing ExxonMobil’s autoclave process. It is used for hot melt adhesives, solid insulation of electric wires instead of polyvinyl chloride (PVC).
Polypropylene (includes injection, blow, yarn fibre, film and compounded polymer)
Polypropylene has various characteristics including high stiffness, impact resistance, transparency and flowability. It is widely used in automobile plastic materials, home electronic appliances, disposable syringes, various transparent containers, packaging film and other applications.
Honam uses Basell’s Spheripol process and produces around 380,000 tonnes/year of PP. The company is producing a full line-up of polypropylene including homo-polypropylene (Hopelen), block copolymer (Kopelen) and random copolymer (Ranpelen) and is making investment into R&D for next generation polypropylene products.
In addition, the company has broadened its applications of PP by developing PP compound resin (Popelen) that improves the functions of PP. The uses of PP compound resins ranges from automobile parts such as bumpers air bag covers, ceiling materials and interior materials that require high impact resistance.
Functional resin
Lottmer is a thermoplastic elastomer. It has elasticity of thermosetting rubber and mouldability of thermoplastic resin. It can substitute soft PVC or thermosetting rubber. It is widely used for automobile parts, household products, construction and industrial goods and electronic parts.
Adpoly is an adhesive polymer. The adhesive resin has been developed by Honam. Heat reaction makes it adhere to polyolefin, gas barrier resin or metal. The characteristics of Adpoly are similar to ordinary polyolefin resin. It can be used in the form of pellets or powder and is widely used by various moulding methods to make bottles, sheets, films and pipes.
Polyethylene terephthalate (PET) - Hopet is a polyester resin for packaging produced by Honam. It is divided into homo-polymers that have high stiffness and heat resistance and random copolymer with good transparency and flexibility.
Basic Petrochemicals
Ethylene oxide (EO) – a base material to produce glycol, glycol ether, polyethylene glycol (PEG), ethanolamine and other derivatives, disinfectants, sterilisers and surfactants.
MEG – a base material used to produce polyester resin, fibre and film, automobile antifreeze solution refrigerant amongst others. Used for transparent cellulose film.
Diethylene glycol (DEG) – a base material to produce polyester resin, an intermediate for polyurethane, glues, gelatine, cork cigarette, cosmetics, amongst others. Used in film, solvent for printing inks, fabric, dye, resin, in gas dehydration and solvent extraction.
Triethylene glycol (TEG) – a base material to produce plasticisers, synthetic resins, glues, gelatine, cigarettes, and cosmetics. Used in gas dehydration and solvent extraction.
Methyl methacrylate (MMA) – used as a medical spray adhesive, non-irritant bandage solvent. Base material to produce acrylic polymer, polymethyl methacrylate (PMMA), acrylic surface coatings, emulsion polymer, modified polyester resin, acrylic film, ink, and impact buffer of PVC.
Basic chemicals
Benzene – used to make synthetic resins, cyclohexane, maleic anhydride and rubber chemicals. Also as a surfactant, emulsifier, detergent (household and industrial), base material of ion surfactant, defoamer, intermediate for organic synthesis, antistatic agent, levelling agent, and releasing agent.
Toluene – used to produce dyes, perfume, explosives (TNT), organic pigment, synthetic cresol, sweeteners, bleach, toluene di-isocyanate (TDI), synthetic fibres, plasticisers, benzene and xylenes. It is also used as a solvent for medicine, paint and ink.
Mixed xylenes – used to separate isomers, produce benzene, dyes, organic pigments, perfumes, plasticisers and medicines. It is also used as a solvent for paint, agriochemicals and medicines.