A scene of the KOGAS LNG Terminal in Aewol, Jeju Island, where the first tanker carrying LNG is docked on Sep. 24, to supply LNG for the first time to the residents of the island. (Photos: KOGAS)

President Chae Hee-bong of Korea Gas Corp.

A cargo ship carrying LNG docked at the Korea Gas Corporation’s LNG Receiving Terminal in Jeju’s Aewol Port on Nov. 12.

The ship was made available on Sept. 18 to exclusively transport LNG to Jeju.

On Nov. 12, the ship set sail from the Tongyeong LNG Terminal in South Gyeongsang Province carrying 7,350 square meters of LNG.

The Korea Gas Corporation recently completed a major construction at the LNG Receiving Terminal in Aewol Port, and plans to begin the supply of LNG to Samyang LNG Combined Cycle Power Plant.
It also plans to extend LNG supply to Hallim LNG Combined Cycle Power Plant.

Gas for the residents will first be distributed to large apartment complexes located in Jeju and Seogwipo city as soon as the piping construction is complete.

A total of 29,615 households currently being supplied with liquefied petroleum gas (LPG) will soon receive LNG instead, which is 30 percent cheaper than LPG.

Jeju Province plans to raise the LNG supply rate by 57 percent by distributing LNG to 158,000 households by 2029.

State-run Korea Gas Corp. (KOGAS) is expanding its global presence in the liquefied natural gas market with its robust technologies and overseas network.

The company is currently participating in 25 global projects in 13 nations, including the exploration, development and production of natural gas. It also includes liquefaction of LNG and the construction and operation of gas pipelines and terminals overseas.

Last year, KOGAS sold 36 million tons of LNG in Korea after purchasing from Qatar, Oman, Australia, the U.S., Malaysia and Russia. It has now secured enough amount of natural gas that can be used for another six years.

Despite Korea’s relatively short history of exploration, KOGAS has succeeded in gas exploration in Mozambique and Myanmar. In Area 4 of the Rovuma basin in northern Mozambique, KOGAS is pursuing the Coral floating LNG and Rovuma LNG projects, the largest in Korea’s resource development history.

In Myanmar, it also succeeded in producing natural gas from the nation’s A-1/A-3 offshore wells.
As for gas production, KOGAS completed the production and shipment of LNG from Australia’s Prelude project last month.

Prelude is a floating LNG facility located 155 nautical miles off the northwest coast of Australia. The offshore project, in which KOGAS holds a 10 percent stake, is capable of producing 3.6 million tons of LNG per year.

KOGAS is also actively participating in overseas LNG terminal projects based on the experience and know-how it has gained over the last 30 years.

It is now taking part in Mexico’s Manzanillo LNG Terminal, which is an import storage and regasification terminal owned as a joint venture of Samsung and Japanese firm Mitsui & Co.

The project, in which KOGAS has a 25 percent stake with an investment of 62.3 billion won ($52.9 million), now sees a yearly return on investment of more than 60 percent, the firm said.

Through lucrative businesses in Australia and Myanmar alongside cost-cutting efforts, KOGAS earned a net income of 42.2 billion won from overseas markets last year.

“We will continue to grow as a global LNG provider by actively participating in natural gas projects in emerging nations by deploying our world-class technologies and network,” said a KOGAS spokesperson.