YGPA Takes First Step in Supplying Eco-Friendly LNG Ship Fuel

by Heo Seonsik

Published 30 Sep.2025 10:42(KST)

Business Agreement Signed with POSCO International and POSCO Flow

Yeosu Gwangyang Port Authority (YGPA, Acting President Hwang Hakbeom) announced on September 30 that it had signed a memorandum of understanding on the 29th at the 14th-floor main conference room of its office building with POSCO International (President Lee Gyein) and POSCO Flow (President Ban Donho) to establish a cooperative system for LNG bunkering at Yeosu-Gwangyang Port.

This agreement aims to accelerate the development of LNG bunkering infrastructure in the Yeosu-Gwangyang region and establish a comprehensive support system covering the entire cycle, from the introduction to the operation of bunkering vessels, in order to promote the supply of fuel for eco-friendly LNG-powered ships.

YGPA signed a memorandum of understanding on the 29th in the large conference room on the 14th floor of the construction office building to establish a cooperative system for LNG bunkering at Yeosu and Gwangyang Ports with POSCO International and POSCO Flow. Provided by Yeosu Gwangyang Port Authority

Bunkering refers to the process of supplying fuel to ships, similar to refueling a car. LNG bunkering, which supplies environmentally friendly fuel that can reduce greenhouse gas emissions, is gaining significant attention in the international shipping industry.

Under the agreement, the three organizations will collaborate in various areas, including policy and regulatory support for LNG supply as ship fuel, establishing economically viable supply methods through the development of LNG fuel introduction, storage, and loading infrastructure, and ensuring the stable operation of LNG bunkering vessels and loading facilities.

Through these efforts, the Yeosu-Gwangyang region is expected to secure a stable LNG ship fuel supply foundation in line with the scheduled completion of the Gwangyang No. 2 LNG Terminal bunkering pier in July next year and the launch of POSCO Flow's new 12,500-ton bunkering vessel in May 2027.

Hong Sangpyo, Executive Vice President of Operations at YGPA, stated, "With global momentum toward carbon neutrality and the growing demand for LNG ship fuel, this agreement is highly significant as it marks a public-private collaboration to establish an LNG hub port. We will work closely together to ensure the successful implementation of this project."