Kukdong Oil to build hydrogen gas plant in Ulsan

South Korea's Kukdong Oil & Chemicals Co. announced on Wednesday that it will construct the nation's largest hydrogen gas production facility in Ulsan.

K&D Energen Co., a joint venture between Kukdong Oil & Chem. and industrial gas manufacturer Deokyang Energen Corp., held a groundbreaking ceremony for the hydrogen gas production plant on June 25 at the Onsan National Industrial Complex in Ulsan.

Scheduled for completion in May 2026, the plant will be the largest commercial production facility in South Korea, with a capacity of 92,000 normal cubic meters per hour (8,280 kg).

The project represents an investment of approximately 218.5 billion won ($157 million).

The hydrogen gas produced at this plant will primarily supply S-Oil's Shaheen Project.

This project aims to build high-value-added petrochemical production facilities within the Onsan National Industrial Complex, with a total investment of 9.26 trillion won, to be completed by 2026.

With a 40-year history in industrial lubricants and fuel sales, Kukdong Oil & Chem. plans to accelerate its entry into the eco-friendly renewable energy market through this hydrogen gas venture.

Write to Hyung-Chang Coi at calling@hankyung.com