Kukdong Oil & Chemicals to Build South Korea’s Largest Hydrogen Production Facility in Ulsan
1. August 2024South Korea’s Kukdong Oil & Chemicals Co. has announced plans to build the nation’s largest hydrogen gas production facility in Ulsan, aiming to enhance its role in the renewable energy sector. The facility, a venture by K&D Energen Co., a joint project between Kukdong and Deokyang Energen Corp., is slated for completion in May 2026. Pressure vessels and other equipment relevant to hydrogen gas production usually require KGS registration, the primary Korea hydrogen certification, in order to be approved for import and sale in Korea.
The hydrogen production plant will have a capacity of 92,000 normal cubic meters per hour (8,280 kg) and involves an investment of approximately 218.5 billion won ($157 million). Located at the Onsan National Industrial Complex in Ulsan, the hydrogen produced will mainly supply S-Oil’s Shaheen Project, which focuses on high-value-added petrochemical production within the complex. Kukdong Oil & Chemicals is shifting from its 40-year history in industrial lubricants and fuel sales towards renewable energy. This move aligns with global trends emphasizing eco-friendly energy sources and will strengthen South Korea’s position in the hydrogen energy sector. The success of the project hinges on the adoption of advanced technologies, supportive regulatory frameworks, and government incentives, as well as the environmental management of the production process.
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