Korea Zinc to Terminate Sulfuric Acid Handling Agency Contract with Youngpoong

Korea Zinc announced on the 15th that it has decided to terminate the 'Sulfuric Acid Handling Agency Contract' with Yeongpung, which expires at the end of June.

Korea Zinc Onsan Smelter operates 20 sulfuric acid tanks and processes 1.6 million tons of sulfuric acid annually, including 400,000 tons received from Yeongpung Seokpo Smelter (based on 2023).

Sulfuric acid is a byproduct generated during the zinc smelting process and is a highly toxic hazardous chemical. Korea Zinc explained that the contract termination is due to the aging of sulfuric acid management facilities leading to the disposal of some facilities, the need for additional investment for facility improvements, and the continuous increase in in-house production causing a shortage of space for company use.

Additionally, from 2026, the subsidiary Kemco's 'All-in-One Nickel Smelter' will be fully operational, producing an additional 185,000 tons of sulfuric acid annually.

It was also explained that currently, due to operational disruptions and reduced production at Yeongpung Seokpo Smelter, the actual annual volume of sulfuric acid entrusted to Korea Zinc is about 190,000 tons, and it is possible to transfer and process it at Donghae Port, which is close to Seokpo Smelter.

Korea Zinc stated, "The additional external import of hazardous materials beyond our emissions is increasing our social and economic burden," adding, "The cost to safely convert this for industrial use is also considerable."

It further added, "Considering the existing contract and the ongoing cooperative relationship between the two companies, we plan to mutually discuss providing Yeongpung with prior notice and a sufficient grace period to establish its own sulfuric acid management facilities, in addition to processing through Donghae Port."

This content was produced with the assistance of AI translation services.