POSCO International has completed its second liquefied natural gas (LNG) terminal in Gwangyang, investing approximately 949.2 billion won, securing the largest private LNG storage facility in South Korea. The terminal increases storage capacity to 1.33 million cubic meters, enhancing the connectivity between LNG trading and power generation while also seeking new revenue sources through ship fuel supply.
The completion ceremony was held on November 10 at the Gwangyang Second LNG Terminal, attended by POSCO Group Chairman Jang In-hwa, POSCO International President Lee Gye-in, and over 100 officials.
A total of 949.2 billion won was invested in the second terminal, which took 47 months to construct. It features two 200,000 cubic meter LNG storage tanks, a docking pier for 270,000 cubic meter LNG carriers, and a bunkering dock. With this completion, the total storage capacity of the existing Gwangyang LNG Terminal has increased from 930,000 cubic meters to 1.33 million cubic meters.
The Gwangyang LNG Terminal began commercial operations in 2005 as the first private facility in South Korea. Since taking over the LNG business in 2019, POSCO International has gradually expanded its storage facilities.
Expanding storage capacity is significant as it enhances operational flexibility to manage LNG import volumes. However, an increase in storage capacity does not directly translate to increased LNG sales, as actual revenue depends on facility utilization rates and contracted volumes.
POSCO International is establishing a business structure that spans from gas field development and production to LNG trading, storage, and power generation. The expansion of the terminal aims to enhance LNG processing capabilities and strengthen the connection between global procurement and domestic power generation.
The company also plans to expand its ship fuel supply business. In addition to supplying fuel to LNG carriers during trials and at the dock, it intends to broaden its operations to include LNG supply between vessels.
The project utilized POSCO's ultra-low temperature high manganese steel, with construction managed by POSCO E&C. POSCO International has also secured land for potential future expansion of additional storage tanks.
Chairman Jang In-hwa stated, "The Gwangyang Second LNG Terminal is a tangible result of our energy resource strategy in action. We will enhance the completeness of the LNG value chain and contribute to national energy security."
* This article has been translated by AI.
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