Lotte Chemical Invests 1.4 Trillion KRW in Indonesian Petrochemical Complex Project

The total project scale is 4.4 trillion KRW
The project duration is from this year to 2025

[Asia Economy Reporter Lee Jung-yoon] Lotte Chemical has finalized its plan to proceed with the Indonesian petrochemical complex project and decided to invest 1.4 trillion KRW.

On the 21st, Lotte Chemical announced that it held a board meeting and decided to conduct a paid-in capital increase to promote the 'LINE Project,' the Indonesian petrochemical complex development project.

The project entity, Lotte Chemical Indonesia, will carry out a paid-in capital increase totaling 1.4331 trillion KRW, with Lotte Chemical and its subsidiary Lotte Chemical Titan investing 702.2 billion KRW and 730.9 billion KRW respectively.

The LINE Project involves establishing a mega petrochemical complex in Indonesia to produce ethylene. The core of the project is to build a new naphtha cracker plant with an annual ethylene production capacity of 1 million tons and to pursue vertical integration with the existing polyethylene (PE) plant.

Lotte Chemical expects to produce 1 million tons of ethylene, 520,000 tons of propylene (PL), and 250,000 tons of polypropylene (PP) annually at the Indonesian petrochemical complex, generating annual sales of 2.06 billion USD (approximately 2.355 trillion KRW).

The total project scale is about 4.4 trillion KRW. The project period is from this year through 2025.

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