KG Chemical has announced the launch of its tank terminal project in Ulsan, marking a significant step in its efforts to develop energy infrastructure as a new growth driver following its fertilizer and chemical materials business.
The company began basic civil engineering work in September to utilize idle land at its Ulsan plant for the tank terminal. By the end of June next year, it plans to complete the first phase, which includes three to four tanks with a total capacity of 6,500㎘.
This construction is the first step in KG Chemical's plan to establish a tank terminal with a total capacity of 200,000㎘ over the next three years. The company aims to sequentially expand storage facilities and logistics infrastructure to significantly enhance the storage and logistics capabilities for liquid cargo.
The tank terminal project is part of KG Chemical's long-term strategy to diversify its business portfolio. By leveraging the geographical advantages of its Ulsan plant and the operational expertise accumulated through its fertilizer and chemical businesses, the company aims to secure a stable and sustainable revenue base.
KG Chemical plans to develop the tank terminal not just as a simple storage facility rental business but as a core infrastructure supporting the KG Group's eco-friendly energy value chain.
In particular, through collaboration with its affiliate KG Eco Solutions, which operates in the eco-friendly fuel sector, the company expects to minimize reliance on external storage facilities while simultaneously improving logistics stability, cost competitiveness, and operational efficiency.
A KG Chemical official stated, "The fact that the tank terminal project, which has been meticulously prepared, has entered the actual construction phase is significant. We will complete this first phase without any setbacks and proceed with gradual expansions to realize a central tank terminal with a total capacity of 200,000㎘."
Meanwhile, Kim Jae-ik, CEO of KG Chemical, expressed in an interview with this publication in July that the tank terminal project will not merely focus on generating revenue through storage facility rentals but will also strengthen the group's eco-friendly fuel and energy storage and logistics systems.
* This article has been translated by AI.
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