Air Liquide Korea and LOTTE Chemical have inked a Memorandum of Understanding (MoU) to amplify their domestic hydrogen business operations.
The collaborative effort outlined in the MoU reflects the joint commitment of both companies to enhance various facets of the hydrogen economy, including the expansion of hydrogen distribution channels and bolstering their existing hydrogen business partnership.
The strategic collaboration will leverage the strengths of both Air Liquide and LOTTE Chemical, particularly in the domains of ammonia decomposition, liquefied hydrogen business, and hydrogen shipping business in Yeosu, South Korea. One of the focal points of their collaboration lies in the cracking business of imported clean ammonia, with the hydrogen generated being harnessed for power generation and mobility solutions.
The partnership extends to the expansion of current gas hydrogen operations, encompassing the incorporation of liquefied hydrogen through the LOTTE-Air Liquide Ener’Hy joint venture (JV). This collaborative venture, established in December 2022, is dedicated to elevating the domestic mobility hydrogen supply chain. Moreover, it is set to establish a state-of-the-art high-pressure hydrogen shipping center utilizing the by-product of LOTTE Chemical at the Daesan Plant site.
Hwang Jin Koo, CEO of LOTTE Chemical Hydrogen Business Group, highlighted the broader implications of this partnership, stating, “Expanding cooperation between the two companies that possess various strengths is expected to promote the hydrogen/ammonia economy and contribute to carbon neutrality.”
He went on to emphasize LOTTE Chemical’s commitment to leveraging its production, distribution, utilization, and technological development capabilities to ensure the successful implementation of the hydrogen ecosystem, thus reinforcing its global network.
This collaboration builds upon the strategic alliance formed by the two companies in the preceding year, with the shared objective of developing a robust hydrogen supply chain within South Korea. The partnership sought to scale up the hydrogen supply chain, especially for the mobility markets, and to facilitate investments. Notably, both Air Liquide and LOTTE Chemical expressed their intent to co-invest in the creation of large-scale hydrogen filling centers in Daesan and Ulsan.
Further underscoring their commitment to the hydrogen future, LOTTE and Air Liquide unveiled plans for a hydrogen fuel cell power plant, alongside SK Gas, as part of their joint venture initiatives. This endeavor highlights the collaborative efforts of these industry leaders, each contributing their unique strengths: SK Gas supplying by-product hydrogen, LOTTE providing raw materials and business-related sites, and Air Liquide bringing its extensive experience in hydrogen station development to the table.
