Indonesian president Prabowo Subianto on Thursday inaugurated a US$4 billion petrochemical production facility built by South Korea’s Lotte Chemical, which will produce 1 million metric tons of ethylene a year.

The plant started commercial operations in October and was the country’s first new naphtha cracker in 30 years, according to Indonesia’s Energy and Mineral Resources Ministry.

Prabowo said at the inauguration ceremony that the government would continue to pursue mutual benefits by supporting foreign investment in Indonesia.

Production from Lotte’s plant, located in the city of Cilegon, is expected to reduce Indonesia’s ethylene imports by more than 90%, and the company plans to continue expanding its investment, Lotte Group chairman Shin Dong-bin said at the ceremony.

“Lotte will continue to invest and expand its business to high-value add petrochemical products to strengthen Indonesia’s industrial capacity,” he said.

Source: Theedgemalaysia