Versalis (Milan, Italy; formerly known as Polimeri Europe), Eni's chemical subsidiary and global leader in elastomers, and Honam Petrochemical Corporation (Seoul, South Korea) have signed an agreement for the development of an elastomeric production plant at its Honam facilities in Yeosu, South Korea.

The new site will use Versalis' proprietary technologies and will have a production capacity of about 200,000 tonnes of elastomers annually, which will be delivered primarily to Asian markets.

Start-up is planned by the end 2015. Versalis will provide its engineering services, commercial development skills and technical assistance while Honam will provide the primary raw materials, operative sites and existing structures.

The agreement signed in Milan by the CEO of Versalis, Daniele Ferrari, and the CEO of Honam Petrochemical Corporation, Sooyoung Huh, sets the basis for the creation of a joint venture, the goal of which is to strengthen Versalis' position on the global market, particularly in the Asia-Pacific region.

The partnership with Honam Petrochemical is in addition to the recent inauguration of the new Versalis office in Shanghai and its joint venture with Petronas (Kuala Lumpur, Malaysia) for the development and joint use of a production plant in Malaysia.

Recently, Versalis formed a joint venture with Petronas, a market leader for the chemical industries in Asia, for the development of its elastomer division, the company's main sales focus in Asia. The agreement provides for the development and joint operation of a production facility for elastomers, in Pengerang, in the southern state of Johor. The elastomers plant will be part of Petronas' RAPID (Refinery and Petrochemical Integrated Development) complex.