Samsung Atofina Changes Name to Samsung Total
Petrochemical company Samsung Atofina Co. has changed its name to Samsung Total Petrochemical Co. and unveiled its new corporate identity. The move follows the latest decision by French partner Total, the world's fifth-largest oil company, to spin-off parts of its chemicals unit called Atofina, the company said. Samsung Total is a joint venture born of French Total Group’s investment of US$775 million in Samsung Chemicals. The Samsung Group and the Total Group each have a 50 percent stake in the company.
Pressrelase:
Samsung Atofina Co., a leading petrochemicals company, seeks to strengthen its competitiveness by developing one of its production centers into an internationally recognized name in the industry.
The company, a joint venture between Samsung General Chemicals and Atofina, the chemical arm of French-based TotalFinaElf Group, says that to build technological know-how and create innovative products, the key is to invest in research and development.
To this end, the company aims to develop its plant in Daesan, South Chungcheong Province, into a global name in three years. The 330-square-meter petrochemicals complex is made up of 14 separate plants and manufactures various materials including olefins, polyolefins such as polypropylene and polyethylene, base petrochemicals, byproduct fuels, solvents and other petrochemicals indispensable for everyday products.
The company believes that developing more high value-added products is vital to its goal of gaining global stature. As a result, it seeks to expand its capacity of high value-added products by 10 percent to 90 percent by the end of this year and to 100 percent by 2006.
One of Samsung Atofina's areas of securing global competitiveness is in polypropylene. It says the polymer contributes to society by being an environmentally friendly material that is economical and versatile. Polypropylene can be produced at a low cost and with easily available raw materials.
According to Ko Hong-sik, CEO of Samsung Atofina, one indispensable aspect of polypropylene is that it can be made into soft and transparent materials, which can be used as an alternative for PVCs, or polyvinyl chloride, a thermoplastic resin used to manufacture such products as rainwear, garden hoses and floor tiles.
The CEO said the company is expanding the application of the material in manufacturing tarpaulins, parts for furniture and even wallpaper. But he noted that Samsung Atofina is still conducting research on how to control the molecular structure and morphology to meet the practical requirements for production and application. He stressed that the company is putting a significant amount of its R&D resources into the commercialization of “clear and soft polypropylene.”
“We are using this material to seek breakthroughs in technology and believe it will take us into a new realm in the polypropylene market,” he said.
Samsung Atofina is continuously attempting to gain new grounds in industrial chemistry, and has invested 3.1 percent of its sales, or $15 million, to create the most extensive domestic research facilities.
One is an experimental system from catalyst lab to multipurpose test production.
The company has designed and constructed facilities for catalyst-related research, from the laboratory stage to bench, pilot, and full-scale production.
Another is a polymerization experimental system for the polymerization lab, as well as for bench and pilot-scale testing.
The company says it has designed and constructed a multipurpose pilot plant to produce PP, PE, LLDPE and other polymers, and through its experiments, has helped to market new products.
To aid researchers in their work, the company has set up a comprehensive support system that includes 24-hour, real-time computer access to its technical information, technical support and customer information, as well as to outside databases.
The 50-50 joint venture between Samsung General Chemicals and Atofina finalized in 2003 is expected to upgrade the overall competitiveness of the Korean petrochemical industry through a marketing and sales alliance, as well as a stable financial structure.
The company said the joint venture marks the first occasion where a foreign chemical company has participated in a fully integrated petrochemicals joint venture in Korea.
The partnership will secure its market-leading position through major economies in production and sales, as well as optimize its business portfolio through the integration of technical expertise and advanced technologies.
For Atofina, the union will provide a major manufacturing base in Asia and reinforce its marketing position in a rapidly growing market. It says that the venture is an additional and significant step in Atofina's globalization strategy in petrochemicals.
Source:
Samsung Atofina