By Diplomacy Journal Lee Kap-soo

Lotte Chemical held a completion ceremony for Lotte Chemical Indonesia (LCI) in Cilegon, Banten Province, Indonesia on November 6 (local time), the company announced. Lotte Group Chairman Shin Dong-bin and Indonesian President Prabowo Subianto attended the LCI completion ceremony.

Delivering congratulatory remarks, Chairman Shin stated, "This project is one of the largest investments by a Korean company in Indonesia. It symbolizes the strong partnership between our two countries and will serve as a crucial foundation for strengthening Indonesia's petrochemical industry and national competitiveness."

He continued, "It will produce key petrochemical products such as ethylene and propylene, generating some $2 billion in economic added value and contributing to Indonesia's sustainable economic growth."

Indonesian President Prabowo Subianto said in congratulatory remarks, "I hope this completion ceremony will serve as a positive example for foreign companies investing in Indonesia, like Lotte Group, to conduct their business safely and reliably."

This is part of the LINE project, an acronym for Lotte Chemical Indonesia New Ethylene. Construction began in 2022 on a 330,000-pyeong (approximately 1,000-square-foot) site with an investment of $3.95 billion, and was completed in May.

The plant will produce 1 million tons of ethylene, 520,000 tons of propylene, 350,000 tons of polypropylene, 140,000 tons of butadiene, and 400,000 tons of benzene, toluene, and xylene (BTX) annually.

LCI, built using advanced design technology accumulated in Korea, is a plant with high energy efficiency and carbon reduction capabilities. In addition to the main feedstock, naphtha, the plant is designed to accommodate up to 50% LPG, maximizing cost savings and operational efficiency, a Lotte Chemical official said.

The completion ceremony was attended by approximately 300 guests, including Lotte Group Chairman Shin Dong-bin, Lotte Chemical CEO Lee Young-joon, Indonesian President Prabowo Subianto, and Chargé d'Affaires to Indonesia Park Soo-deok, along with other key figures from both countries and domestic and foreign guests.