SK Gas Starts Commercial Operation of World's First LNG·LPG Combined Power Plant 'Ulsan GPS'

1.4 Trillion Investment... "LNG? Power Generation Era Opens"
Power Capacity Equivalent to One Nuclear Power Plant

SK Gas announced on the 26th that the world's first GW-class LPG·LNG combined cycle power plant, 'Ulsan GPS (Gas Power Station)', has started commercial operation. Ulsan GPS is a gas combined cycle power plant in which SK Gas invested 1.4 trillion KRW, with a power generation capacity of 1.2GW, equivalent to that of one nuclear power plant.

SK Gas announced on the 26th that the world's first LPG·LNG combined gas power plant, Ulsan GPS, has started commercial operation. Panorama of Ulsan GPS (Photo by SK Gas)

The annual electricity production can supply power to 2.8 million households for one year (based on 250 kWh per household per month). It utilizes 900,000 to 1,000,000 tons of LNG annually, supplied from Korea Energy Terminal (KET).

In particular, it is equipped with the latest and highest efficiency gas turbines among domestic LNG power plants, resulting in high power generation efficiency. LNG is directly supplied through pipelines from KET, located 5 km away, reducing transportation costs and enhancing economic feasibility. Although LNG is primarily used, LPG can be used as an alternative fuel when LNG prices exceed LPG prices, enabling stable power generation despite energy price fluctuations.

SK Gas began the Ulsan GPS project in 2019 and started construction in March 2022. After LNG was introduced to KET in April this year, initial ignition was conducted in May to begin trial operation, and commercial operation started this month.

SK Gas announced on the 26th that the world's first LPG·LNG combined gas power plant, Ulsan GPS, has started commercial operation.
Ulsan GPS panoramic view (Photo by SK Gas)

Ulsan GPS is expected to play a key infrastructure role for carbon neutrality. It has been recognized for contributing to greenhouse gas reduction through plans to reduce environmental pollutants and introduce carbon-free power sources, and in 2022, it issued green bonds with the highest 'G1' grade in ESG certification evaluation, the first among domestic gas combined cycle power plants. Ulsan GPS plans to start with LNG·LPG combined cycle power generation and gradually increase hydrogen co-firing in the mid to long term to achieve 'net zero by 2050'.

Through the commercial operation of Ulsan GPS and KET, SK Gas has reaped the fruits of its long-pursued investments in LNG and power generation businesses. It has completed the LNG value chain from import, storage, supply to power generation.

Yoon Byung-seok, CEO of SK Gas, stated, "By entering the LNG and power generation business, we have achieved long-term business structure innovation and taken a step closer to becoming a 'net zero solution provider.' Through building an eco-friendly energy ecosystem, we will strengthen the competitiveness of Ulsan, the largest industrial city in Korea, and become a partner in creating a sustainable future together with our customers."