SK Gas Expands LNG Business with Korea Energy Terminal

Korea National Oil Corporation Joint Venture... 1.2 Trillion KRW Investment
Establishing a Northeast Asia Energy Hub

SK Gas's new LNG business, Korea Energy Terminal (KET), has commenced commercial operations.

SK Gas announced on the 15th that Korea Energy Terminal, a joint venture with Korea National Oil Corporation, held a completion ceremony on the 14th at the KET site located in Ulsan North Port.

Korea Energy Terminal was constructed as the only domestic oil and LNG combined energy terminal through the Ulsan North Port project, which began in 2008 as a national agenda item for the Northeast Asia Oil Hub. SK Gas and Korea National Oil Corporation jointly invested a total of 1.2 trillion KRW to establish it.

It can handle the loading, unloading, and storage of a total of 1.7 million barrels of petroleum products such as naphtha, gasoline, and diesel. Facilities have been established to unload, store, vaporize, and transmit 4.05 million barrels of LNG (completion of two tanks of 1.35 million barrels each, with a third tank under construction). The terminal is also equipped with wharf facilities that can berth and unload three fuel transport vessels simultaneously.

By securing a variety of customers including major domestic and international oil and LNG energy companies and power generation companies, it is expected to contribute to revitalizing the domestic economy, strengthening industrial competitiveness, and enhancing energy security as the center of the Northeast Asia energy hub.

SK Gas has achieved a business model innovation by shifting from an LPG-focused business structure to the LNG business. Korea Energy Terminal is a core infrastructure responsible for storage and supply within SK Gas's LNG value chain, forming the central axis of SK Gas's LNG business along with Ulsan GPS.

SK Gas is expanding LNG supply to various demand sectors with a total of six LNG storage tanks, including tanks within the Clean Energy Complex (CEC) in the rear area. Additionally, through the nation's first and largest 10,000-ton class LNG bunkering wharf, SK Gas plans to build an LNG bunkering ecosystem and further expand its LNG business.

Yoon Byung-seok, CEO of SK Gas, stated, "In the current challenging situation for the refining and petrochemical industries, SK Gas, located near the Ulsan industrial complex, will do its best to enhance industrial competitiveness through optimal energy supply and coexistence."