The plant will be constructed within an existing Hexion manufacturing complex in Onsan to produce Cardura monomer, which is a glycidyl ester derivative of Versatic Acid 10.
Cardura monomer is used as a key ingredient in environmentally advanced coatings such as automotive clear coats, coil coatings and marine coatings where high solid, water-based formulations and low VOCs (volatile organic compounds) are desired.
Jorrit Klaus, vice president of Versatics at Hexion, said: “Construction of this plant demonstrates Hexion’s commitment to meeting the coating industry’s need for this key ingredient. It is part of our continuing effort to improve the assured global supply of Versatic acids and derivatives to meet our customers’ needs as they, in turn, increasingly reformulate their products for enhanced environmental performance.”
Construction of the new facility will begin in the first quarter and completion is slated before the end of this year. Hexion also produces Cardura monomer and Versatic acids at its plant in Pernis, The Netherlands.
The company said that Versatic acid derivatives are key building blocks for resin systems. Their structure and properties offer performance advantages. They are suitable for use in high solids and water-based resins, where hydrophobicity, hydrolytic stability, adhesion and UV resistance are required.
Mr Klaus, said: “The investment in the new Onsan plant will almost double our current capacity and will provide a second manufacturing location, significantly improving security of supply for our customers.We are excited about this expansion into the Asia Pacific region, where market demand is growing rapidly and local supply is increasingly critical.
“We expect this growth in demand to continue. The automotive industry has been especially interested in these materials for both OEM and refinishing applications. Our actions today reflect our commitment to help customers create and plan for newer and lower emitting technologies going forward.”
