POSCO begins LNG terminal construction

POSCO started LNG terminal construction in Kwangyang, November 1.

This terminal will be equipped with two 100,000 kiloliter storage tanks, an LNG evaporator, a terminal for 138,000 cubic meters LNG carriers on the ground of 90,000 pyoung(1 pyoung is about 3.3 sq. m), with an investment of 322.6 billion won by 2005. This is the first domestic terminal built by a private corporation.

When the terminal is completed, POSCO will supply Pohang Works and Kwangyang Works with reasonably priced LNG. The fuel will be imported from Southeast Asia or the Middle East, stored and evaporated.

POSCO changed its fuel to LNG from crude oil in order to be more environmentally friendly and save costs. They received permission from the government in 1997 to build an LNG terminal and import LNG.

While the Korea Gas Corporation has operated 22 LNG tanks of 100,000 to 140,000 kiloliters, no private company had an LNG terminal.