SK Materials Airplus (CEO Jong-jin Oh) is entering the rare gas upcycling business in partnership with an American company, contributing to the stable supply of rare gases and reduction of carbon emissions.

SK Materials Airplus announced on the 19th that it signed a business agreement (MOU) with Arencibia, a U.S. industrial gas upcycling specialist, to establish a joint venture and jointly promote the rare gas upcycling business.

At the joint venture establishment business agreement ceremony held at the Grand Seoul Building in Jongno-gu, Seoul on the 16th, SK Materials CEO Lee Yong-wook, SK Materials Airplus CEO Oh Jong-jin, and Arencibia CEO Brent Frissora were in attendance.

The joint venture will be operated with SK Materials Airplus in charge of marketing and operations, and Arencibia in charge of process and design. Upcycling is carried out by monitoring and analyzing the emitted gases in real time and then extracting only the necessary rare gases.

Rare gases are difficult to mass-produce because they are contained in very small quantities in the air, and since they are produced only in a few countries, supply may become unstable in the event of geopolitical risks. In addition, the market prices of some rare gases are also unstable, with prices skyrocketing by as much as 30 times compared to the previous year.

In the future, when a joint venture is established and the process of capturing, refining, and reintroducing rare gases is completed, it will be possible to domestically produce rare gases that were previously dependent on imports, and they will be supplied at reasonable prices. In the semiconductor and display industries, there is also the advantage of being able to produce products more stably without being affected by instability due to international situations.

In particular, since rare gases are recycled from exhaust gases in industrial gas processes, they also have the effect of accelerating net-zero management by reducing carbon emissions.

Arencibia, founded in 1986, has over 30 years of experience in the upcycling field and provides industrial gas upcycling solutions using big data-based monitoring and analysis systems. It is currently carrying out upcycling projects targeting U.S. military and aerospace companies.

SK Materials Airplus CEO Jong-jin Oh said, “Given the unstable supply and demand and extreme price fluctuations of rare gases, upcycling is the best solution for stable growth.” He added, “We will work closely with Arencibia to lead the upcycling business not only in Korea but also in Asia and around the world, and pioneer the net-zero trend.”