GS Group Chairman Huh Chang-soo makes an inspection tour to the recently dedicated Dangjin LNG Combined Cycle Power Unit 4.

GS Group has become the largest private utility in Korea with the recent dedication of the Dangjin LNG Combined Cycle Power Unit 4. GS Group’s ascent to the top position in the LNG power generation is owed to GS Group Chairman Huh Chang-soo’s efforts to build growth momentum through the implementing new businesses. On top of the refining and petrochemical business of GS Caltex, GS Group has secured a competitive edge in the power sector, making a step closer to the group’s vision of rising to an integrated energy company. 

GS EPS, a private power utility unit of GS Group, held a ceremony to dedicate the Dangjin LNG Combined Cycle Power Unit 4 at the Bugok Industrial Complex on July 7. Among those on hand at the event were GS Group Chairman Huh, GS Caltex Chairman Hur Jin-soo, and GS EPS President Huh Yong-soo, CEO Isam bin Saud Al Zadjali of Oman Oil Company, and Oman Ambassador to Korea Mohamed Salim Alharthy. 

GS Group Chairman Huh said in a speech on the occasion, “With dedication of the Dangjin LNG Combined Cycle Power Unit 4 and the operation of GS Donghae Power, GS has the largest power generation capacity among Korean private utilities. “ To GS Group, the power generation sector will become a new growth foundation, he added. 

The recently dedicated Dangjin LNG Combined Cycle Power Unit 4 is the fourth LNG combined cycle plant of GS EPS. It has a 900MW capacity nearly doubling that of the normal thermal power unit. Its efficiency rate stands at about 60 percent, the highest one in the world, which produces more electricity in the case of inputting of same amounts of LNG than other units, meaning less power generation costs. The LNG being used by the Dangjin LNG Combined Cycle Power Unit 4 is imported directly from abroad, not via the KOGAS, saving the raw material procurement costs. GS EPS has also dedicated the Boryung LNG Terminal for the direct importing of LNG in 10 years. 

GS EPS has three LNG combined cycle power units with a combined capacity of 1,500MW in Dangjin, Chungcheongnam-do, and a 100MW new and renewable energy plant. The Dangjin LNG Combined Cycle Power Unit 4 brings to 2,500MW the company’s total power generation capacity. 

GS EPS President Hur said, “The high-efficiency, large-capacity Dangjin LNG Combined Cycle Power Unit 4 is expected to contributing to addressing environment problems by reducing greenhouse gas emissions.” He added that GS EPS will strive to make the operation of the Dangjin LNG Combined Cycle Power Unit 4 a success based on the competitive edge related to the direct importing of LNG. 

GS Group has a combined power capacity of 5,100MW ~ 2,500MW from GS EPS and 1,200MW from GS Donghae Power establishing itself as the top private utility company in Korea, surpassing SK with 4,600MW and POSCO with 3,400MW.  In keeping with the President Moon Jae-in government’s policy of weaning Korea from nuclear and coal-fired power, demand from LNG power plants is expected to rise. Private utility units of GS Group are forecast to post better business performances. 

GS Group is contributing to enhancing cooperative ties between Korea and the United States in the energy sector. GS EPS plans to import 600,000 tons of LNG for power generation annually from the United States for 20 years from 2019. GS Caltex, which imported 2.4 million barrels of U.S. crude oil last year, plans to import 3.5 million barrels of crude oil this year.

A view of the Dangjin LNG Combined Cycle Power Unit 4. (Photos: GS Group)