SK Gas said Tuesday it has attracted $100 million from Petrochemical Industries Company, a subsidiary of Kuwait National Petroleum Company, through its subsidiary company, SK Advanced to push for its ongoing propane dehydrogenation (PDH) project.

It is the second foreign direct investment for the PDH project, following a $135 million investment from Advanced Petrochemical Company, a Saudi Arabian Joint Stock Company, on September 2014.

The capital raised from PIC will be used to build the PDH plant in Ulsan, the SK affiliate said, adding the firm expects to export PDH business and technical know-how overseas in the future.

The plant with annual production capacity of propylene is 600,000 tons is expected to be commercially operated as of March in this year.

SK Gas CEO Kim Jeong-keun said,“It is very delighted to enhance the competitiveness of PDH business and even to contribute for national economy through this introduction of foreign capital. I will try my best to proceed PDH business successfully in the future as well as the derivative business, so that the company value can be maximized.”

(jyseo@heraldcorp.com)