GS Caltex President Hur Sae-hong and KOGAS President Chae Hee-bong attend a ceremony in which GS Caltex and KOGAS struck an MOU on the successful launching of the business of liquefied hydrogen production and supply and the forging of a strategic alliance at GS Tower in Yeoksam-dong, Seoul, on May 28. (Photos: GS Caltex)

GS Caltex has teamed up with Korea Gas Corp. (KOGAS) to make inroads into the hydrogen market, which is emerging as a future energy source.

GS Caltex and KOGAS struck an MOU on the successful launching of the business of liquefied hydrogen production and supply, and the forging of a strategic alliance at GS Tower in Yeoksam-dong, Seoul, on May 28.

GS Caltex President Hur Sae-hong and KOGAS President Chae Hee-bong participated in a signing ceremony. The takeaway of the deal is about the building of a liquefied hydrogen plant.

The two companies plan to build a liquefied hydrogen plant with an annual capacity of 10,000 tons. Construction is to be dedicated by 2024 at an LNG reception terminal in Pyeongtaek, Gyeonggi-do. The capacity is enough to supply hydrogen to about 80,000 passenger cars annually.

The plant will utilize the cold energy being created in the course of converting gaseous hydrogen into liquefied hydrogen by cooling it to below −253°C. If the cold energy is utilized in the liquefaction, the plant will be eco-friendly due to consuming less energy and less costs.

GS Caltex and KOGAS have agreed to install scores of liquefied hydrogen stations in the Seoul metropolitan area and central region in time for the dedication of the liquefied hydrogen plant.

Installing liquefied hydrogen stations in urban areas is not hard sine they can be built on one-third of the area of a gaseous hydrogen station.

Both sides have agreed to verification and commercialization of technologies related to carbon capture & utilization (CCU).

A process of extracting gaseous hydrogen out of natural gas emits large amounts for carbon, so installing CCU facilities is needed. Captured carbon can be utilized as a raw material to produce chemical products.

GS Caltex has already ventured into the hydrogen charging business.

The company set up a charging station in Gangdong-gu, Seoul, in May 2020 in cooperation with Hyundai Motor. The filling station is for supplying petroleum, diesel, and LPG and charging electricity.

A view of GS Caltex’s convergence energy station in Gangdong-gu, Seoul.

GS Caltex is participating in the government’s project to expand hydrogen charging stations. The company is building a hydrogen charging station, about 70 percent of whose construction is subsidized by the government.

GS Caltex decided to set up a hydrogen charging station on Jeju Island with Hyundai Motor. Under the deal the company signed with KOGAS, GS Caltex will be able to expand the hydrogen business to production and liquefied hydrogen sectors.

GS Caltex President Hur said, “If GS Caltex’s gas station and charging business expertise is combined with KOGAS’s LNG business knowhow, it will have greater synergetic effects in the hydrogen segment.” GS Caltex will spearhead the hydrogen segment, he added.