Author: Tronserve admin
Tuesday 27th July 2021 02:34 PM
GS Caltex Replaces Fuel with Low-Carbon LNG At Yeosu Plant
South Korea’s leading oil refiner GS Caltex Co. switched fuel to run its factory in Yeosu, South Jeolla Province, to lower carbon emitting liquefied natural gas (LNG), accelerating its move to transform itself into a more environmentally and socially responsible company.
The company announced Thursday that it replaced low sulfur heavy oil with LNG that produces fewer carbon emissions at its Yeosu factory. Low sulfur heavy oil emits 76 tons of carbon dioxide (CO2) per terajoule (TJ) compared to 56 tons of CO2 emitted from LNG.
The company expects the fuel switch will lead to a 19 percent cut in carbon emission and 30 percent reduction in emissions of other pollutants such as sulfur oxides and nitrogen oxides, which would translate into 11.5 billion won ($9.5 million) in cost saving a year.
“Amid rising energy demand, the supply-centered policy of the past could not limit greenhouse gas emissions,” said GS Caltex CEO Huh Se-hong, adding that switching to efficient fuels is the best way to meet the two conflicting goals of stabilizing energy supply and demand and countering climate change. He emphasized enhancing energy efficiency is a duty of the energy industry and the fuel replacement of Yeosu factory is a clean and safe way to reduce emissions effectively.
After taking office in January, Huh, the fourth-generation of GS Group owner family, has been stepping up eco-friendly policy. He declared a vision of becoming “the most admired” energy and chemical firm based on the industry’s highest competitiveness last year. He said companies that do not follow the basic principle and take social responsibility could lose their hard-won social network and confidence.
As part of an effort to enhance green management, the company offered its first green bonds worth 130 billion won last November to finance the Yeosu plant’s eco-friendly transition. A green bond is a debt raised for environmental projects.