Gwangyang LNG Terminal finishes construction
Published by Oliver Kleinschmidt,
Assistant Editor
Tanks and Terminals,
POSCO International has completed the Gwangyang 1st LNG Terminal on the 9 July 2024. This was a large-scale infrastructure construction project that began in 2002 and involved a total investment of KRW1.45 trillion over approximately 20 years since Tank number one began operation in 2005.
The terminal completion ceremony, held in Gwangyang, was attended by around 100 people, including Second Vice Minister of Trade, Industry and Energy Choi Nam-ho, South Jeolla Province Vice Governor Park Chang-hwan, Gwangyang Mayor Jeong In-hwa, National Assembly member Kwon Hyang-yeop, SK E&S President Choo Hyung-wook, Hyundai Heavy Industries President Lee Sang-gyun, Korea Gas Corporation Vice President Kim Hwan-yong, government and client officials, as well as POSCO Group executives including POSCO International President Lee Kye-in, adding to the significance of the comprehensive completion.
This project was pursued by POSCO International as a specialised company leading the domestic energy industry based on the entire LNG value chain from exploration to production, storage, and power generation, in order to stably secure LNG storage infrastructure assets.
With this completion, Gwangyang Terminal 1 will have a total LNG storage capacity of 930 000 kl based on storage tanks number one to number six, as well as port facilities of 180 000m³.
Gwangyang Terminal 1 not only supplies natural gas for power generation and process use to the national key industries, but also provides comprehensive services for unloading, storing, vaporising, and transmitting natural gas directly imported by users such as POSCO, S-OIL, and SK E&S.
In particular, the number five and number six storage tanks were the first in Korea to use the ultra-low temperature high manganese steel 1 developed by POSCO for the first time in the world. In addition, a new compaction pile method utilising steel by-products was applied to the construction project to improve the soft ground of Gwangyang Bay, which is a landfill, and this also had the effect of replacing the use of natural aggregate.
In addition, the Gwangyang 2nd LNG Terminal, which will invest a total of KRW930 billion to build two 200 000 kl LNG tanks on adjacent land, began construction in 2023 and is currently under construction.
POSCO International will secure a total LNG storage capacity of 1.33 million kl by 2026 when the Gwangyang 2nd LNG Terminal is completed. This is also the storage capacity for heating gas that can be used by the entire nation for 40 days.
Securing this LNG storage capacity is also evaluated as positive for national energy security. This is because recently, advanced global countries are focusing on securing energy demand sources and domestic storage infrastructure in response to the energy supply chain crisis and increasing LNG demand.
In the future, POSCO International plans to further strengthen the midstream (liquefaction, transportation, storage, and trading) sector of the LNG value chain, centred around the Gwangyang Terminal.
In addition to the existing LNG storage tank rental business, we plan to support domestic and international industries by developing related businesses such as LNG ship commissioning and bunkering business, and lay the foundation for promoting blue hydrogen business in the future.
At the completion ceremony that day, Choi Nam-ho, Second Vice Minister of Trade, Industry and Energy, evaluated it: “Gwangyang 1st LNG Terminal has contributed to national economic development and energy security since it was the first private company in Korea to begin commercial operation in 2005.” He added, “In a situation where uncertainty in corporate management is increasing due to the instability of international energy supply and demand, the government will mobilise all available means to minimise the impact on the industry.”
POSCO International President Lee Kye-in said: “I would like to thank all executives and employees and on-site workers who have realised a safe workplace without a single major accident since the start of terminal construction in 2002.” He added, “Going forward, we will ensure a stable supply of domestic energy and steadily strengthen our competitiveness in the global energy market through digital transformation that automates and optimises the operation management of the Gwangyang LNG Terminal.”
Read the article online at: https://www.tanksterminals.com/terminals/16072024/gwangyang-lng-terminal-finishes-construction/
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