Cedigaz News Reports


Posco International completes LNG terminal project in Gwangyang

Posco International announced Tuesday the comprehensive completion of its first LNG Terminal in Gwangyang, South Jeolla Province.

The construction of the Gwangyang LNG Terminal, comprising six storage tanks, was a major infrastructure project that took nearly 20 years and cost 1.04 trillion won ($755 million). Posco International undertook this project with the aim of creating a stable LNG storage infrastructure based on the company's comprehensive LNG value chain.

With its completion, the terminal now holds a total LNG storage capacity of 930,000 kiloliters and features port facilities that can accommodate LNG carriers with a capacity of 180,000 cubic meters.

The terminal will supply natural gas for power generation and industrial processes, while also providing comprehensive services for LNG imported by companies such as Posco, S-Oil and SK E&S.

The company highlighted the first domestic application of cryogenic high manganese steel, Posco's self-developed new material superior in impact resistance and strength, in tanks No. 5 and No. 6.

The terminal’s construction also included an innovative piling method using steel by-products to refine the soft ground at the reclaimed site, effectively replacing natural aggregates.

Additionally, Posco International began construction last year on the adjacent site for the second LNG terminal in Gwangyang. This project involves building two more 200,000 kiloliter LNG tanks, with a total investment of 930 billion won, and is expected to be completed by 2026.

Upon completion, the company will secure a total LNG storage capacity of 1.33 million kiloliters, enough to supply heating gas for the nation for 40 days.

Looking ahead, Posco International plans to strengthen further the areas of liquefaction, transportation, storage and trading within the LNG value chain, with Gwangyang Terminal as the central hub. The company aims to expand into LNG ship trials and bunkering, also laying the groundwork for a blue hydrogen business.

Meanwhile, the completion ceremony of the Gwangyang LNG Terminal was attended by government and industry representatives, including Trade, Industry and Energy Vice Minister Choe Nam-ho, along with Posco Group executives, including Posco International CEO Lee Kye-in.

"We will ensure a stable supply of domestic energy and continuously enhance our competitiveness in the global energy market through digital transformation that automates and optimizes management of the Gwangyang LNG Terminal," said Lee. (July 9, 2024)