Jeonnam Governor Kim Young-rok: "We Will Develop Gwangyang Bay Area into a Northeast Asia LNG Hub"

Kim Young-rok, Governor of Jeollanam-do, promised to develop the Gwangyang Bay area into a Northeast Asian LNG hub.

On the 26th, Governor Kim announced a plan for the 1.4 trillion won ‘Yeosu Myodo LNG Terminal Project’ at the ‘Regional Revitalization Investment Fund Launch Ceremony.’ He then revealed his vision to develop the Gwangyang Bay area into a Northeast Asian LNG hub comparable to Singapore.

The Regional Revitalization Investment Fund is a 300 billion won government project that supports projects jointly discovered by local governments and the private sector to prevent local extinction and activate private investment. The government held a briefing session in July last year and started accepting fund applications from January this year.

The launch ceremony held in Cheonan, Chungnam, under government supervision, was organized to unite various sectors to successfully root the ‘Regional Revitalization Investment Fund’ in local areas and to spread excellent cases nationwide.

At the launch ceremony, about 700 people attended, including Choi Sang-mok, Deputy Prime Minister for Economy, Lee Sang-min, Minister of the Interior and Safety, officials from 14 cities and provinces excluding the metropolitan area, heads of national institutions such as the Korea Development Bank president, and representatives from the business and financial sectors. Gyeongbuk and Chungbuk provinces announced fund selections, while Jeonnam and Chungnam provinces presented exemplary preparation cases.

Jeonnam’s ‘Yeosu Myodo LNG Terminal Project’ is a large-scale infrastructure construction project with a private investment of 1.4 trillion won. It was selected as an exemplary preparation case due to its high feasibility and significant economic ripple effects on the local community.

Governor Kim Young-rok said, “The LNG hub terminal to be built in Yeosu Myodo will be able to supply 3 million tons of LNG annually in a timely manner to the Gwangyang Bay industrial complex, and will also invigorate the eco-friendly LNG ship industry. Along with fostering the LNG cold energy industry, we will attract an international LNG exchange to make the Gwangyang Bay area the largest LNG hub in Northeast Asia, comparable to Singapore.”

The ‘Yeosu Myodo LNG Terminal Project’ is a large-scale private investment project that will invest a total of 1.4 trillion won in a site of approximately 274,000㎡ (83,000 pyeong) in the Yeosu Myodo-dong area to build LNG storage tanks, a dedicated port, transportation pipelines, etc., and supply 3 million tons of LNG annually for 20 years to the Gwangyang Bay industrial complex.

Although the SPC was established in 2020, land acquisition and basic construction were completed in 2021, and approval from the Ministry of Trade, Industry and Energy was obtained, the project had been delayed due to difficulties in attracting private investment caused by the global high interest rate environment. However, this has now been resolved thanks to the Regional Revitalization Investment Fund.

If the project proceeds successfully, it is expected to create employment for about 13,000 people and generate a production inducement effect of 2.8 trillion won. Additionally, it is estimated that there will be an effect of about 300 billion won from creating an advanced industrial ecosystem such as cold logistics, biopharmaceuticals, and superconductors using LNG cryogenic facilities, and about 650 billion won from revitalizing the shipbuilding industry that will transport LNG.

Governor Kim said, “We will attract an ‘International LNG Exchange’ worth 1 trillion won and build a ‘Global Energy Hub Terminal’ to develop it into the country’s largest clean energy export base encompassing hydrogen, ammonia, and more. To this end, it is necessary to select the ‘LNG and Hydrogen Pipeline Network Construction Project’ as a preliminary feasibility study target and expand the Jeolla Line high-speed railway, which will shorten the travel time between Yeosu and Seoul by more than 30 minutes.”

He added, “Jeonnam Province is home not only to the Myodo LNG Terminal Project but also to numerous private investment projects eligible for the fund, such as the Goheung Space Theme Resort, Yeosu-Gwangyang hydrogen pipeline network, Kakao data center, and Solar City premium hotel. I ask for the interest and support of government officials and businesspeople.”

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