South Korea recently obtained rights to sell polyethylene and polypropylene produced at the Kiyanly Gas Chemical Plant, the first large gas chemical plant in Turkmenistan. The annual sales are estimated at $700 million. South Korean President Moon Jae-in and Turkmen counterpart Gurbanguly Berdimuhamedow met on April 17 in Ashgabat to discuss cooperation.

Moon is the second South Korean president to pay a state visit to the central Asian country.

A hundred and twenty seven South Korean companies, including Hyundai Engineering, Hyundai Engineering & Construction and LG International, participated in the construction project of the plant that incurred an investment of $3 billion, according to South Korean media reports.

South Korea and Turkmenistan are planning to sign a memorandum of understanding based on the summit to set up a joint venture for the sale of the polyethylene and polypropylene.

The joint venture is likely to be organized by LG International and NAPECO, which is a marketing company invested by Turkmenistan’s state-run energy companies. The first sale is scheduled for the second half of this year.

Polypropylene is raw material for technical textiles. (DS)