ADM, LG Chem To Stop Previously Announced Projects For Production Of Lactic And polylactic Acid

(RTTNews) - ADM (ADM) and LG Chem announced that their previously announced projects for the production of lactic and polylactic acid will not move forward. The joint ventures include GreenWise Lactic, of which ADM is a majority owner, and LG Chem Illinois Biochem, which is majority-owned by LG Chem.

"Since we originally announced our two joint ventures with LG Chem for lactic and polylactic acid in 2022, construction costs have skyrocketed. We looked at a variety of options, but when the time came to make final investment decisions, it had become clear that these projects no longer represented a prudent use of our investors' capital that would meet our returns objectives," said Chris Cuddy, president of ADM's Carbohydrate Solutions business.