LG화학이 신학철부회장 등 12명의 임원들이 2024년 7월9일 인도 안드라프라데시주 비샤카파트남을 방문해 2020년 5월 발생한 LG폴리머스 공장 스티렌가스 누출 참사관련 주정부관계자와 피해주민대표를 만나고, 10일 귀국해 언론에 낸 보도자료입니다.  

“We will not forget and fulfill our responsibilities”

LG Chem expands support for villages affected by Indian accident

■ Vice Chairman Shin Hak-cheol and other top executives visit AP state in India… Local villagers and the Chief Minister

 Meet in person and communicate further support plans

□ Payment of living subsidies to each of the 5,000 households near the factory and expansion of medical services such as check-up centers

□ Establish a local foundation to provide continuous recovery support to nearby residents.

■ ABS compound plant scheduled to be completed in AP… Expand new investments and create jobs

□ New plant with annual capacity of 50,000 tons begins full operation in the second half of the year

□ Review of additional investments in safe and eco-friendly business areas

■ Vice Chairman Shin Hak-cheol

“Even before the trial results come out, we can provide practical help to local residents.”

“We will do our best to provide humanitarian support.”

LG Chem is expanding humanitarian support for residents affected by the accident at LG Polymers (Indian production subsidiary) four years ago. LG Polymers is located in Visakhapatnam, Andhra Pradesh (AP).

Top executives, including LG Chem Vice Chairman Shin Hak-cheol, CFO Cha Dong-seok, and Petrochemical Business Division Head Noh Kuk-rae, visited the southern Indian state of AP on the 9th and met with residents of villages around the accident and Chief Minister Chandrababu Naidu.

At this event, Vice Chairman Shin expressed his deepest condolences to all those affected by the LG Polymers accident and decided to expand support to about 5,000 households in villages near the accident. The amount to be supported this time is approximately 1.2 billion rupees (20 billion won). ※ Reference: Total income level per person in AP: 300,000 won/month

LG Polymers provides living subsidies to villages around the plant in consultation with the state government. In addition, reflecting the needs of village residents, a checkup center will be operated for health follow-up tests and progress management, and the number of treatment items at designated hospitals will be expanded to a total of 15. By establishing a new foundation in India, we are also pursuing social contribution (CSR) activities to help village residents receive continuous recovery and care.

The reason why LG Chem's top management visited AP state in person was because Vice Chairman Shin's intention to provide humanitarian support needed by village residents even before the local court's ruling was actively reflected.

Vice Chairman Shin recently heard that while local trials, which are the basis for comprehensive compensation, are being delayed, difficulties for village residents are increasing due to abnormal weather and economic difficulties. After internal discussions, Vice Chairman Shin visited India in person to provide prompt support.

Regarding the announcement of this additional support package, Vice Chairman Shin said, “We will do our best to provide humanitarian support that can be of practical help to local residents even before the trial results are announced.”

The LG Polymers accident, which occurred during the coronavirus pandemic lockdown in May 2020, was caused by a leak of process raw materials that had been stored for a long period of time in a storage tank at the factory. The AP state government paid a total of 375 million rupees (5.83 billion won) in compensation to the affected residents immediately after the accident, and LG Polymers has paid a total deposit of more than 20 billion won to date in accordance with the orders of the relevant authorities. Judgments for liability and compensation proceedings are ongoing in local courts.

LG Polymers has carried out recovery activities in the affected areas, including providing food and hygiene products, donating drinking water trucks, village cleanup activities, and water quality and soil testing. To date, approximately 5,000 people have received medical services at designated hospitals. In 2021, 80 tons of zeolite, a key material needed for oxygen supply, was donated to AP State, where the coronavirus was rapidly spreading, by flying three private planes.

■ New factory scheduled to be completed in AP… Expand new investments and create jobs

Through new investment, LG Chem is about to complete the construction of an ABS compound plant with an annual capacity of 50,000 tons in Sri City, about 780km away from LG Polymers. ※ ABS compound: The final process to produce ABS (high value-added plastic) products.

LG Chem announced that it may consider additional investment in expansion if demand for ABS increases in the future. At the existing LG Polymers site, we plan to actively discuss investment in safe and eco-friendly businesses encouraged by the AP state government.

Immediately after the accident, factory operations and access to the LG Polymers site were suspended due to a local court order to block the manufacturing plant. LG Polymers has maintained the employment of its employees for the past four years, and employees who wish to work at the new plant are moving to Three City to continue working there. When hiring additional plants for the Three City plant, we plan to give preference to those from the existing plant area. (end)