Exploring Cooperation Measures for Energy Supply Including Liquefied Natural Gas (LNG)
[Sejong=Asia Economy Reporter Kwon Haeyoung] On the 24th, Moon Seung-wook, Minister of Trade, Industry and Energy, visited Qatar to support orders for our shipbuilding industry. They also explored cooperation measures related to energy supply and demand, including liquefied natural gas (LNG), whose prices have recently surged.
This visit was made possible by an invitation from Al-Kaabi, Qatar's Minister of Energy. It is the first ministerial-level meeting between the two countries in the industrial and energy sectors in two years since 2019.
Minister Moon requested Minister Al-Kaabi, who also serves as CEO of Qatar Energy, to support orders for LNG vessels from Korean shipbuilders. Currently, Qatar Energy is promoting the ordering of LNG vessels for the development of the North Field gas field, the world's largest, which accounts for 13% of the world's gas reserves. Last June, they signed a slot contract for LNG carriers with Korea's top three shipbuilders, and full-scale orders are expected soon.
Minister Moon also asked for cooperation to allow Korean shipping companies to participate in the LNG carrier operator selection project jointly promoted by Qatar Energy.
Both sides agreed to strengthen joint responses to the energy crisis, including stabilizing gas prices, and cooperation in new industries. Minister Moon evaluated that LNG cooperation between the two countries has been further solidified by the new long-term LNG contract signed in July, and requested Qatar's cooperation to ensure stable gas supply and demand in Korea amid recent rapid fluctuations in the gas market.
Furthermore, he proposed cooperation to establish an economical overseas hydrogen supply chain between the two countries based on Qatar's blue hydrogen production competitiveness. In particular, he requested Qatar's cooperation for the currently planned establishment of the "Clean Hydrogen Supply Chain Activation Initiative." This initiative is a consultative body that discusses clean hydrogen certification, carbon dioxide storage, hydrogen price disclosure, and demonstration projects centered on countries where hydrogen production and import projects have been concretized.
In this regard, Korea Hydrogen Convergence Alliance (H2Korea) and Qatar Energy signed the "Korea-Qatar Hydrogen Cooperation MOU" in the presence of ministers from both countries. The two organizations will cooperate in information exchange, hydrogen market formation and technology development promotion, hydrogen industry expansion support, and hydrogen supply chain construction.
During this visit, Minister Moon paid a courtesy call on Khalid bin Khalifa bin Abdulaziz Al Thani, Prime Minister of Qatar, and also met with Muhammad, the newly appointed Minister of Commerce and Industry of Qatar, agreeing to hold the 6th Korea-Qatar High-Level Strategic Consultation in Seoul at an early date.
Taking this Qatar visit as an opportunity, the two countries signed an economic free zone cooperation MOU focusing on investment attraction cooperation and efforts to build networks between companies. At the "Korea-Qatar Business Roundtable" hosted by the chambers of commerce of both countries, companies in shipbuilding, plant, hydrogen, and bio sectors participated to discuss cooperation measures for post-COVID and carbon neutrality responses.
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