Hanwha Aerospace has signed a memorandum of understanding with Hanwha Energy and Korea Southern Power to strengthen co-operation in the global LNG sector and advance the development of an integrated LNG value chain.
The signing ceremony, held at The Plaza Hotel in Seoul, marks the start of a new public–private collaboration to secure competitive LNG procurement and diversify supply sources. The agreement is designed to strengthen Korea’s access to US LNG in a more favourable trading environment and to address the need for stable energy supply chains amid heightened geopolitical risks and global market uncertainty.
Under the agreement, the three companies will collaborate on joint procurement of US LNG, enhance domestic supply stability through LNG swaps, and expand information sharing in the global LNG market. Hanwha Aerospace and Hanwha Energy will leverage Hanwha Ocean’s LNG carrier fleet to create an integrated LNG value chain from sourcing to transportation and delivery, with the aim of strengthening order potential and generating synergies across the Hanwha Group.
Last year, the company invested approximately KRW 180.3 billion (US$130.3 million) to acquire a 6.83% stake in US LNG developer NextDecade Corp., further expanding its presence in the North American LNG sector.
“We will extend the technology and global networks we have built in the defence sector into the energy field to contribute to national energy security,” said Jaeil Son, President and CEO of Hanwha Aerospace. “Based on our co-operation with Korea Southern Power, we will expand projects that strengthen Korea’s energy stability and support economic growth.”
“Through this agreement, we will bring together the capabilities of the private and public sectors to respond to the changing global LNG market,” added Jae Kyu Lee, CEO of Hanwha Energy. “We expect LNG imports and swaps to strengthen both the stability and flexibility of our partnership.”
“Amid recent geopolitical risks such as conflicts in the Middle East and changes in the external environment, enhancing competitiveness in direct LNG imports through collaboration with the private sector is highly meaningful,” concluded Jun-Dong Kim, CEO of Korea Southern Power. “I hope this agreement will serve as a cornerstone for practical co-operation, such as joint procurement of US LNG, that will contribute to the national economy.”