South Korea to invest $200 billion in LNG and nuclear projects in the United States
The Asian nation is making a significant investment in the energy sector, announcing up to $200 billion in liquefied natural gas (LNG) and nuclear energy projects in the United States, according to the White House
In a recent announcement, the White House revealed three major energy projects financed with South Korean capital totaling up to $200 billion: a gas-fired power plant in Texas, eight nuclear reactors, and, more conditionally, a gas pipeline in Alaska.
Regarding this agreement, US President Donald Trump, along with Commerce Secretary Howard Lutnick, announced the news on September 30 from the Oval Office, stating: “We are thrilled to announce one of the largest energy infrastructure investments in US history.”
The package is part of the broader $350 billion commitment that Seoul made by 2025 under the bilateral trade agreement that reduced US tariffs on Korean goods from 25 % to 15 %. It also includes $150 billion for shipbuilding and $100 billion in liquefied natural gas purchases.
New plants of liquefied gas and nuclear reactors
Project Star is the most advanced initiative, focused on a 6,472-megawatt natural gas combined-cycle power plant in Encinal, Texas, thanks to a $22.3 billion investment. NextEra Energy is leading the project, in conjunction with Lewis Energy Group for site development, gas supply, and water. It was specifically designed to power data centers and other electricity-intensive facilities, such as semiconductor plants, located adjacent to the plant itself.
They expect the first phase to begin operations in 2029, with full operation in 2032. South Korea will supply the equipment, engineering, and construction, and could extend the use of its turbines to other similar projects in the US.
The second part of the investment corresponds to Project Power, which comprises eight nuclear reactors and the return of nuclear power, through a $120 billion investment. The eight nuclear reactors will be located in states such as Ohio, Tennessee, South Carolina, and Kentucky.
“Six would be AP1000 reactors from the American company Westinghouse, and two would use the South Korean APR1400 design, in an agreement signed jointly by both governments, Westinghouse Electric, Korea Electric Power Corp., and Korea Hydro & Nuclear Power.”
The third project, called Project North, involves the development of the Alaskan liquefied natural gas pipeline, valued between $50 billion and $54 billion, designed to transport gas from the North Slope to the state’s southern coast and export it liquefied to Asian markets. Unlike the other two projects, this one has not yet been finalized, pending confirmation of its commercial viability.
M.Pino
Source: elperiodicodelaenergia
(Main reference image source: Marina Zvada on Unsplash)
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