20 Years of Supplying 3 Million Tons of LNG Annually to Yeosu Industrial Complex
Expectations for Profitability, Regional Economic Impact, and Economic Vitality
On the 19th, Yeosu City, Jeollanam-do (Mayor Jeong Gi-myeong) signed an agreement at the Seo Jae-pil Room of Jeollanam-do Provincial Office with Jeollanam-do Province, Hanyang Co., Ltd., and GS Energy Co., Ltd. to jointly invest 1.4 trillion KRW in the ‘Myodo LNG Terminal Project’ through a public-private partnership.
The investment period extends until 2047, with initial construction planned by 2027 at the Myodo dredged soil reclamation site (approximately 83,000 pyeong). The project includes building three 200,000 kL-class LNG storage tanks, vaporization and transmission equipment, a port capable of accommodating ships with a capacity of 100,000 tons, and 7.8 km of pipelines.
On the 19th, Yeosu City signed an investment agreement for the promotion of the 'Myodo LNG Terminal Project' with Jeollanam-do, Hanyang Co., Ltd., and GS Energy Co., Ltd. at the Jeonju Pil Room of Jeonnam Provincial Office. Photo by Yeosu City
From 2028, the terminal will be fully operational, supplying approximately 3 million tons of industrial and power generation LNG annually to the Yeosu-Gwangyang Bay area at affordable prices for 20 years until 2047.
Additionally, related industries such as blue hydrogen production using LNG, LNG combined power generation, hydrogen fuel cells, and cryogenic research facilities are expected to be continuously attracted.
The economic ripple effects are also significant. Tax revenues and direct employment, which directly benefit the local economy, are expected to average 24.2 billion KRW annually over the 20 years of LNG terminal operation. Employment inducement effects are estimated at about 13,000 jobs, and production inducement effects are projected to reach approximately 2.8 trillion KRW.
Yeosu City and Jeollanam-do Province plan to actively invest in this project with substantial business outcomes and economic ripple effects, aiming to promote early commencement of the project and activate private investment projects that have been delayed due to high interest rates and other factors, thereby revitalizing the local economy.
Yeosu City plans to apply for designation of the Myodo port redevelopment area as an ‘Opportunity Development Zone’ within the year, which will provide broad regulatory exemptions and tax benefits.
On this day, Mayor Jeong Gi-myeong of Yeosu said, “Yeosu City has a vision to lead sustainable climate change response and is striving to achieve carbon neutrality by 2050. We hope that Yeosu Myodo will grow into a Northeast Asia LNG hub that produces, distributes, and utilizes energy. We will spare no administrative support to ensure smooth progress of the project, including enacting ordinances necessary for investment.”
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