Jeonnam Governor Kim Young-rok Signs 1 Trillion Won Investment Agreement with Germany's Linde

Attracting Foreign Investment for the Establishment of a Blue Hydrogen Production Cluster

Kim Young-rok, Governor of Jeollanam-do, who is on a tour of Europe, signed an investment agreement on the 3rd (local time) in Frankfurt, Germany, with Linde and Hanyang Co., Ltd. to establish a blue hydrogen production cluster worth 800 million dollars (approximately 1 trillion KRW).

Linde is the world's largest industrial gas and engineering company, actively investing worldwide in various sectors of the hydrogen value chain, including green energy production, processes, and usage. Hanyang is expanding its scope beyond construction and plant businesses to LNG terminal projects, renewable energy production, and clean hydrogen power generation.

The signing ceremony was attended by Governor Kim Young-rok, Sean Durbin, Head of Linde Europe, Middle East, and Africa (EMEA), Kim Hyung-il, CEO of Hanyang Co., Ltd., Sung Baek-seok, CEO of Linde Korea Co., Ltd., and Moon Byung-chul, CEO of Northeast Asia LNG Hub Terminal.

Hanyang is currently constructing an LNG terminal on Myodo Island and is promoting the construction of a combined heat and power plant. Linde and Hanyang plan to produce blue hydrogen and develop a clean hydrogen power generation project at this site.

They plan to invest 800 million dollars from 2024 to 2030. The project aims to produce 80,000 tons of blue hydrogen annually and capture 430,000 tons of carbon dioxide per year, storing 13 million tons of carbon dioxide in overseas storage facilities over 30 years.

Hydrogen energy is utilized across industries as a key element in the transition to a decarbonized economy, including power generation (fuel cells) and energy storage. Energy storage and power generation using hydrogen are expected to reduce the variability of renewable energy and contribute to stabilizing the power grid.

Accordingly, Jeollanam-do plans to establish green hydrogen energy research, development, demonstration, and production complexes to secure core infrastructure throughout the entire cycle, build a robust hydrogen industry ecosystem, and develop the Yeosu Gwangyang Port area in the Gwangyang Bay region as a hydrogen logistics hub, making it a base for the hydrogen industry.

Jeollanam-do will coordinate with Korea Electric Power Corporation (KEPCO) to timely connect the power grid by constructing new substations and will ensure the smooth provision of essential infrastructure such as water supply and wastewater treatment facilities.

Governor Kim Young-rok said, “We will lead the era of a major transition to clean energy by linking this investment with large-scale projects such as the 8.2GW offshore wind power complex and the green hydrogen energy island,” adding, “We will do our best to ensure the success of the investment projects.”

Sean Durbin, Head of Linde EMEA, stated, “We hope that this agreement will serve as a good example of carbon neutrality by actively cooperating with Jeollanam-do, Yeosu City, Hanyang, and Linde to produce blue hydrogen and generate clean hydrogen power in Jeollanam-do.”

Prior to the investment agreement, Governor Kim Young-rok visited BASF headquarters in Ludwigshafen, Germany, expressed gratitude for the mutual growth efforts with Jeollanam-do, and proposed continuous investment in future growth industries such as fine chemicals, semiconductor and battery materials, and renewable energy.

In response, Rainer Geier, Senior Vice President, said, “BASF is considering diversifying its business into future growth industries such as offshore wind power and secondary battery batteries, and will actively discuss investments with Jeollanam-do, a strategic business partner.”

Governor Kim Young-rok then inspected a livestock manure biogas facility in Karben, Germany, which has the largest number of biogas facilities in the world, focusing on the biogas facility, its operation methods, and odor management measures during operation.

The livestock manure biogas facility is effective not only for gas production but also for electricity generation and greenhouse gas reduction. It also enables coexistence with local residents by supplying waste heat from power generation to the community.

Governor Kim Young-rok said, “Biogas facilities are important for reducing greenhouse gases and practicing carbon neutrality,” adding, “We will convert the current treatment method focused on compost and liquid fertilizer resource recovery to biogas facilities to establish carbon neutrality and coexistence plans with local residents.”

This content was produced with the assistance of AI translation services.