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Hyundai Oilbank inaugurates biodiesel plant in South Korea

There are plans and considerations for the biodiesel plant to achieve co-processing of biofuels at its 520,000 barrels per day Daesan refinery.

Joshua Falcón.

Published: April 19, 2024

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South Korean refiner Hyundai Oilbank has commissioned its new 130,000-tonne-per-year biodiesel plant in Daesan, South Korea.

Supply and internal market with biodiesel plant

The plant, which began operations on April 17, is currently powered by palm oil fatty acid distillates (Pfad) as raw material. Most of the biodiesel produced is expected to meet growing domestic demand for green fuels in South Korea.

Hyundai Oilbank has been experimenting with various feedstocks at the plant since last December, including Pfad, used cooking oil (UCO) and soybean oil. In 2022, the company signed an agreement with the food manufacturer Lotte Confectionery to obtain UCO as a sustainable raw material.

The refinery is also considering co-processing biofuels at its 520,000 barrel per day Daesan refinery . In addition, the construction of a 500,000-tonne-per-year plant that can produce renewable diesel, sustainable aviation fuel and bionaphtha is under evaluation, with an expected start-up date for the middle of the decade. The final decision on the investment in this plant has not yet been announced.