『LOTTE Chemical Announces 2030 Vision, Reorganizes Future Growth Strategy and 슬롯사이트 지니 Structure』

Lotte 슬롯사이트 지니 transforms into a general 슬롯사이트 지니 company expanding on

high-value specialty & green 슬롯사이트 지니es by 2030

■ Announcement of the <LOTTE슬롯사이트 지니 2030 Vision and corporate slogan 『Every Step for GREEN』…

Declares to achieve 50 슬롯사이트 지니 KRW in revenue and achieve carbon reduction growth by 2030

■ Expand high-value specialty & green 슬롯사이트 지니es to 60% of all revenue by 2030

- Expand revenue to 20 trillion KRW by improving competitiveness for general petrochemical 슬롯사이트 지니

- Expand revenue to 18 trillion KRW through high-value products and entering new 슬롯사이트 지니 areas for the high-value specialty 슬롯사이트 지니

- Grow revenue to 12 trillion KRW for hydrogen energy / battery 슬롯사이트 지니 / recycled and bioplastics, etc.

■ Construction of domestic 슬롯사이트 지니 ecosystem and gain leadership in the 슬롯사이트 지니 industry…

- Invest total of 6 슬롯사이트 지니 KRW by 2030 and achieve production of 1.2 million tons of clean hydrogen and 5 슬롯사이트 지니 KRW in sales

■ Expand battery material solutions; become a leading global battery 슬롯사이트 지니 company…

- Invest a total of 4 슬롯사이트 지니 KRW by 2030... Achieve 5 슬롯사이트 지니 KRW In sales through 4 슬롯사이트 지니 KRW in the four major lithium-ion

battery 슬롯사이트 지니 sector and 1 trillion KRW in the next-generation battery sector

■ Become a leader in the age of circulating economy by expanding recycled/bioplastic 슬롯사이트 지니es…

- Produce 1 million tons of eco-friendly recycled products and invest 1 trillion KRW by 2030 and expand 슬롯사이트 지니

to post revenue of 2 슬롯사이트 지니 KRW

■ ESG Vision/Strategy; Procure sustainable growth through ‘Green Promise 2030’…

- Pursue net-zero, create social value of circulation and coexistence, and green innovation

LOTTE슬롯사이트 지니 announced its future vision and growth strategies at the Jamsil Lotte World Tower on the 19th.

LOTTE슬롯사이트 지니 held the ‘LOTTE슬롯사이트 지니 2030 Vision & Growth Strategy’ press conference with the attendance of Vice Chairman Kim Gyo-hyun

(LOTTEGroup Chemical Unit Vice Chairman), Basic Materials 슬롯사이트 지니 President and Hydrogen Energy 슬롯사이트 지니 Director Hwang Jin-koo,

Advanced Materials 슬롯사이트 지니 President and Battery Materials 슬롯사이트 지니 Director Lee Young-joon, and ESG Management Division Director Kim Yeon-seop.

LOTTE슬롯사이트 지니 2030 Vision and Slogan

Announcement of theand corporate slogan 『Every Step for GREEN』… Declares to achieve 50 슬롯사이트 지니 KRW in revenue and achieve carbon reduction growth by 2030

- General 슬롯사이트 지니: Increase revenue from 11 trillion KRW to 20 trillion KRW through regional diversification and improved product competitiveness

- High-value specialty 슬롯사이트 지니: Increase revenue from 7 trillion KRW to 18 trillion KRW by expanding the specialty product group, adding value to

general 슬롯사이트 지니 products, and entering new 슬롯사이트 지니 sectors such as bio materials, parts and chemicals, and eco-friendly materials

- Green 슬롯사이트 지니: Increase revenue to 12 trillion KRW through hydrogen energy / battery materials / recycled and bioplastics, etc.

Through this announcement, LOTTE슬롯사이트 지니 unveiled its new corporate vision/slogan 『Every Step for GREEN』 with the goal of heading toward

an abundant and green world through advanced technologies.

Furthermore, it presented its financial goal for 2030 as ‘achieving 50 슬롯사이트 지니 KRW in revenue’ and the non-financial goal of

‘carbon-reduced growth’ as part of its <2030 Vision.

Vice Chairman Kim Gyo-hyun commented, “As our growth strategy to achieve the 2030 vision, we 슬롯사이트 지니 pursue expansion of ourgeneral chemical 슬롯사이트 지니 and high-value specialty 슬롯사이트 지니, while reorganizing our portfolio by expanding green 슬롯사이트 지니es such ashydrogen energy / battery 슬롯사이트 지니 / recycled and bioplastics.” He added, “We will simultaneously improve energy efficiency and increaseapplication of carbon capture and utilization (CCU) technologies, while achieving carbon-reduced growth through mid- to long-term investmentssuch as implementing renewable energy.”

In order to achieve 50 trillion KRW revenue by 2030, △ in the general petrochemical 슬롯사이트 지니, LOTTEChemical plans to expand revenue

from 11 슬롯사이트 지니 KRW posted in 2021 to 20 슬롯사이트 지니 KRW through regional diversification and improving product competitiveness.△ For the high-value specialty 슬롯사이트 지니, it plans to increase revenue from 7 trillion to 18 trillion KRW by expanding existing specialty product groups,adding value to general 슬롯사이트 지니 products, and entering new 슬롯사이트 지니 sectors such as bio parts/materials/chemicals and eco-friendly materials.△ It plans to build the green 슬롯사이트 지니 to have revenue of 12 trillion KRW composed of 5 trillion KRW in hydrogen energy, 5 trillion in battery materials,and 2 슬롯사이트 지니 KRW in recycled and bioplastics.

In order to strategically implement the future green 슬롯사이트 지니 and actively respond to fundamental changes in the petrochemical industry,LOTTEChemical established the ‘hydrogen energy 슬롯사이트 지니 division’ and ‘battery materials 슬롯사이트 지니 division’ in March.The Hydrogen Energy 슬롯사이트 지니 Division is headed by Basic Materials 슬롯사이트 지니 President Hwang Jin-koo and the Battery Materials DivisionbyAdvanced Materials 슬롯사이트 지니 President Lee Young-joon. Each division is focused on the systematic fostering of new 슬롯사이트 지니es and investmentsto preemptively lead the hydrogen market, while finding additional battery and high-value materials 슬롯사이트 지니 to enter.

Announcement of the LOTTEChemical green 슬롯사이트 지니 growth strategy

At the press conference, LOTTEChemical presented future green 슬롯사이트 지니 strategies and goals in detail. It can be summarized as

△ producing 1.2 million tons of clean hydrogen and achieving revenue of 5 trillion KRW for the hydrogen energy 슬롯사이트 지니,

△ 5 trillion KRW in revenue for the battery materials 슬롯사이트 지니, and △ producing more than 1 million tons of recycled and bioplastics,

while posting revenue of 2 슬롯사이트 지니 KRW by 2030.

Hydrogen energy 슬롯사이트 지니 growth strategy

■ Construction of domestic hydrogen ecosystem and gain leadership in the hydrogen industry... Invest total of 6 슬롯사이트 지니 KRW by 2030 and

achieve production of 1.2 million tons of clean hydrogen and 5 슬롯사이트 지니 KRW in sales

- Pursue implementation of foreign clean ammonia to prepare for increase in domestic demand

- Produce clean 슬롯사이트 지니, expand 슬롯사이트 지니 supply chain, increase use for generators/fuel cells/charging stations

- Hydrogen Energy 슬롯사이트 지니 Director Hwang Jin-koo stated, “We will do our best to contribute to the building of a green circulating

ecosystem focusing on 슬롯사이트 지니 based on core capacities such as large-scale consumers, large supply chains, and eco-friendly technologies,

with the conviction that each and every step we take 슬롯사이트 지니 contribute to a more abundant life in terms of environmental friendliness for the Republic of Korea”

LOTTEChemical announced its plans to invest a total of 6 슬롯사이트 지니 KRW to produce 1.2 million tons of clean hydrogen by 2030, and distribute and use this to achieve annual sales of 5 슬롯사이트 지니 KRW. Furthermore, it will actively pursue implementation of foreign clean ammonia to prepare for increased domestic demand in the future.

Hydrogen Energy 슬롯사이트 지니 Director Hwang Jin-koo stated, “We will do our best to contribute to the building of a green circulating ecosystem focusing on hydrogen based on core capacities such as large-scale consumers, large supply chains, and eco-friendly technologies, with the conviction that each and every step we take will contribute to a more abundant life in terms of environmental friendliness for the Republic of Korea.”

LOTTEChemical expects that by 2030, the hydrogen market 슬롯사이트 지니 reach 5.8 million tons and 980 million tons globally, and predicted that there 슬롯사이트 지니 be a demand for approximately 3.5 million tons for fuel cells and ammonia mixed fuel generators. In response to this, from the 1.2 million tons of its hydrogen production, it plans to supply 600,000 tons for generators, 450,000 tons for fuel cells and hydrogen gas turbines, and 150,000 tons for transportation. For the 600,000 tons for the generator demand, clean hydrogen 슬롯사이트 지니 be produced overseas and transformed into ammonia, which is more economical in terms of storage and transportation, to bring into Korea.

Hwang Jin-koo commented, “We 슬롯사이트 지니 utilize the strengths of LOTTEChemical such as its network, investment history, and abundant global project experience, etc. to preemptively construct an infrastructure from production facility investments to transportation and distribution, and procure leadership for the entire process of the hydrogen industry in Korea.”

Battery materials 슬롯사이트 지니 growth strategy

■ Expand battery material solutions; become a leading global battery 슬롯사이트 지니 company… Invest total of 4 trillion KRW by 2030...

Achieve 5 trillion KRW In sales through 4 trillion KRW in the four major lithium-ion battery 슬롯사이트 지니 sector and 1 trillion KRW in the next-generation battery sector

- Look to create synergy and pursue 슬롯사이트 지니es with subsidiaries in the chemical unit focusing on LOTTEChemical

- Expand 4 major lithium-ion battery materials and next-generation battery materials 슬롯사이트 지니

- Goal of establishing a supervising body in the US battery corporation within the first half of the year

- Battery Materials 슬롯사이트 지니 Director Lee Young-joon, “While expanding our 슬롯사이트 지니 platform speedily using various methods such as

M&As with companies possessing relevant technologies, establishing joint ventures, and collaboration among LOTTEGroup subsidiaries,

we 슬롯사이트 지니 actively target the US battery market, which is highly dependent upon imports and high profitability is expected”

LOTTEChemical declared that it will keep up with the pace of increased demands for batteries and eco-friendly cars to become a leading global battery materials company through large-scale investments and its capacities in the battery 슬롯사이트 지니.

It announced that it will invest a total of 4 trillion KRW by 2030 with the goal of posting annual revenue of 5 trillion KRW, and stated that it would achieve 4 trillion KRW in sales for the four major lithium-ion battery (LiB) 슬롯사이트 지니 [1] solution and 1 trillion KRW in next-generation batteries.

It also revealed its plan to enter foreign markets. Battery Materials 슬롯사이트 지니 Director Lee Young-joon explained, “The EV battery supply chain is being reorganized centering on the United States due to increased demand for EVs and more battery manufacturers building plants in the US,” and added, “We are planning to open a local office that will oversee the battery materials 슬롯사이트 지니 in the US by the first half of 2022, and we are striving to improve synergy and competitiveness of the company within the chemical unit focusing on LOTTEChemical through efforts such as implementing technologies of core companies and engaging in strategic collaboration.”

It will also pursue expanding its next-generation battery 슬롯사이트 지니. As there are growing demands for improving energy density and better safety, plans are to research and develop proprietary technologies such as lithium metal anodes, liquid electrodes, ESS batteries, etc. that are drawing attention as future solutions, and it plans to preemptively pursue battery 슬롯사이트 지니 diversification by discovering prospective companies and through shares investments.

Recycle/bioplastic 슬롯사이트 지니 growth strategy

■ Take leadership in the age of circulating economy by expanding the recycled/bioplastic 슬롯사이트 지니... Increase 슬롯사이트 지니 to producing 1 million tons of eco-friendly recycled products and revenue of 2 trillion KRW

- Expand plastic recycling and bioplastic to more than 1 million tons

- Grow 슬롯사이트 지니 by making total investments of 1 trillion KRW and recording sales of 2 trillion KRW by ‘30 by expanding existing PCR products,

recycling 슬롯사이트 지니 PET (r-PET), and commercializing pyrolysis technologies and biodegradable polymers

- ESG Management Division Director Kim Yeon-seop, “We 슬롯사이트 지니 create social values of circulation and coexistence using our strengths in

recycling technologies, infrastructure, and external partnerships”

LOTTEChemical also announced its plans to expand the recycled/bioplastic materials 슬롯사이트 지니 to over 1 million tons by making accumulated investments of 1 trillion KRW in accordance to the resource circulation trends.

In the case of plastic recycled products, it 슬롯사이트 지니 △ expand PCR product sales to 440,000 tons through physical recycling such as PC, ABS and PP focusing on client companies in electronics, automobiles, and household appliances in the short term, △ and pursue production of 410,000 tons of chemical recycling such as recycled PET (r-PET) and 150,000 tons of PE/PP productions through the commercialization of pyrolysis technologies in the mid- to long-term by 2030.

It will also expand the bioplastic materials sector as well in order to respond to market regulations regarding packaging and consumable materials that are hard to recycle, while also keeping pace with the increased demand for biodegradable materials. Sales of Bio-PET that is currently being produced at the Yeosu Plant is scheduled to be increased from the current 14,000 tons to an annual 70,000 tons by 2030, and it will also review new bioplastic 슬롯사이트 지니es such as biodegradable polyester called PBAT and marine biodegradable plastic called PHA.

ESG Management Division Director Kim Yeon-seop stated, “There is a continuous growth for recycled 슬롯사이트 지니 among client companies in electronics, automobiles, and household appliances as the use of regenerable 슬롯사이트 지니 are becoming mandatory and eco-friendly management of global companies are being reinforced among advanced nations,” while adding, “We will expand revenue of the recycled and bioplastic sector to 2 trillion KRW by 2030.”

LOTTE슬롯사이트 지니’s ESG Vision/Strategy, 『Green Promise 2030』

■ ESG Vision/Strategy; Procure sustainable growth through ‘Green Promise 2030’... - Pursue net-zero, create social value of circulation and coexistence, and green innovation

- Achieve 2050 ‘net-zero’ by improving energy efficiency and implementing 슬롯사이트 지니 and renewable energy

- ‘Create social values of circulation and coexistence’ by expanding sales of recycled plastics, responsible management of products/supply chain,

and strengthening global safety and health

- ‘Pursue green innovation’ by initiating growth of a hydrogen ecosystem and expanding global 슬롯사이트 지니es of battery materials

LOTTEChemical 슬롯사이트 지니 reestablish this year’s ‘GREEN PROMISE 2030’ with an ESG vision/strategy. Through this, it 슬롯사이트 지니 pursue net-zero, create social value of circulation and coexistence, while pursuing green innovation

First, in order to practice net-zero, it 슬롯사이트 지니 improve energy efficiency and expand CCU application, while implementing hydrogen and renewable energy, thereby reducing emissions in 2030 by 25% compared to that of 2019, while achieving carbon neutrality by 2050. During the course of this, it 슬롯사이트 지니 pursue membership of RE100.

In order to create social value of circulation and coexistence, it plans to increase sales of recycled plastic products to more than 1 million tons by 2030, while systematically managing impact and risk on the economic, environmental and social sectors in the entire process of product raw 슬롯사이트 지니, sales, use, and disposal.

Furthermore, in order to lead sustainable future industries, it plans to preemptively construct global hydrogen ecosystem growth ranging from the production to the transportation, distribution and utilization of clean hydrogen by 2030, while also entering the battery materials market promptly to strengthen future high-value 슬롯사이트 지니es.

Also, it will practice human rights management, strengthen human capital, engage in digital ESG 슬롯사이트 지니 management, establish a transparent and fair corporate culture, and improve shareholder value to strengthen its ESG capacities and system.