GS Caltex Corp. South Korea’s leading oil refiner will offer 100 billion won ($84.3 million) in green bonds to finance environment transition of its manufacturing plant in Yeosu, southern Korea.

The company said Thursday that it will hold a book building session next Monday to issue the green bonds on Oct. 29. It has set the offering at 100 billion won but may raise the volume depending on demand. The debts will be sold in 3-year and 10-year maturities. Other terms including interest rate will be determined after the book building.

It would be the oil refiner’s first green bond, according to the company. A green bond is a debt raised for environmentally-friendly projects.

The company plans will use the proceeds to make its Yeosu plant more environmentally friendly by adding a facility for reducing pollutant emissions and a system for monitoring air quality. It also vowed to promote practicing green management by establishing a sustainable circular economy, from procuring materials to production, sales and recycle of products.

Previously, manufacturers including GS Caltex that run plants in Yeosu industrial complex on Korea’s southern coast were caught for rigging emissions data in collusion with local monitoring agencies.

By Pulse (Translation)

[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]