Korean Company Kumho Petrochemical to Build China's Largest Insoluble Sulfur Project

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Researched by Industrial Info Resources (Sugar Land, Texas)--Korean Company Kumho Petrochemical, ranked by Forbes as one of the world's top 500 companies, will build China's largest insoluble sulfur project in Chongqing Municipality in southwest China.

It has been reported that the project includes a 50,000-ton-per-year insoluble sulfur facility and a 30,000-ton-per-year carbon disulphide facility. It attracts a total investment of 213 million yuan (US$32.8 million), and the construction is expected to be completed by 2011.

With an output of 50,000 tons of insoluble sulfur, the project will become Asia's largest insoluble sulfur production base once it is brought online. The project's annual sales are expected to reach 650 million yuan (US$99.7 million), and it is expected to provide jobs for more than 300 people.

The project is located in Changshou Petrochemical Park, and the development is overseen by Kumho Petrochemical Chongqing Company. Pre-construction preparation of the project has entered the final stage, with its environmental evaluation report having been submitted to Chongqing Environmental Protection Bureau for approval.

Kumho Petrochemical Chongqing Company is a joint venture set up by Korean company Kumho Petrochemical and Chinese company Shenzhen Haiyinsi Petrochemical Products Company.

In December 2007, Kumho and Shenzhen Haiyinsi signed a contract to jointly invest 250 million yuan (US$38.5 million) in developing China's largest insoluble sulfur base. Korean company Kumho Petrochemical holds 65% of the stake by providing the investment, while Shenzhen Haiyinsi holds the remaining 35% by offering its unique insoluble sulfur-producing technology.

Korean company Kumho Petrochemical was set up in 1970 and it is affiliated with the Kumho Asiana Group, one of Korea's top 10 consortiums. Kumho Petrochemical's main products cover synthetic rubber, synthetic resin, rubber chemical, electronic chemicals. Kumho Petrochemical also has built thermal power plants and is the world's fourth-largest synthetic rubber producer.

Statistics show that China's market demand of insoluble sulfur topped 50,000 tons last year, while China's domestic production was less than 20,000 tons. The supply-demand gap is covered by imports.

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