SABIC and SK Global Chemical open new industrial plant

SABIC and the Korean petrochemical company, SK Global Chemical, inaugurated a new industrial plant to manufacture a range of high-performance polyethylene products using the cutting-edge Nexlene(TM) Solution Technology.

The ceremony was attended by SABIC Chairman Prince Saud bin Abdullah bin Thenayan Al-Saud and Acting Vice Chairman and Chief Executive Officer Yousef A. Al-Benyan and Executive Vice Presidents Abdulrahman Al-Fageeh and Yousef Al-Zamel. SK was represented by Group Chairman Chey Tae-won, SK Innovation CEO Chung Chul-Khil, and SK Global Chemical CEO Cha Hwa-Youp. Also in attendance were Trade, Industry and Energy Minister Yoon Sang-jick and Ulsan Mayor Kim Gi-hyeon.

The 50-50 joint venture holding company, SABIC SK Nexlene Company (SSNC) was established last July and is headquartered in Singapore. Its wholly-owned subsidiary, Korea Nexlene Company (KNC), owns the plant in Ulsan, which has an annual capacity of 230,000 tonnes. The aggregate purchase price for the technology and plant is approximately USD 640 million.

The plant will produce metallocene linear low density polyethylene (mLLDPE), polyolefin plastomers (POP) and polyolefin elastomers (POE) that will meet the growing needs of diverse industries such as advanced packaging, automotive, healthcare, footwear and electrical & lighting.  

Nexlene will offer customers better performance – including excellent impact strength, enhanced toughness, superior transparency, and much more.  These unique properties and characteristics of products using Nexlene technology offer a range of possibilities for the development of innovative product and differentiated applications.  

In addition to the new manufacturing facility, SABIC and SK also inaugurate a new state of the art research and development facility in Daejeon. t will feature departments focusing on process development, as well as catalyst and product development. The center will also sponsor and oversee research programs at universities and third party facilities in Korea and around the world.

These new facilities mark the latest SABIC investments in manufacturing and research capabilities in the Far East after its partnership with the China Petrochemical Corporation (Sinopec) and the SABIC Technology Center in Shanghai which was inaugurated in 2013.