POSCO International has entered into a preliminary agreement to acquire LNG from the Alaska LNG project in the United States for the next 20 years and has begun subsequent reviews.
According to Reuters and other foreign media on September 12, POSCO International recently signed a preliminary agreement with Glenfarne, a U.S. energy infrastructure development company, at Gastech 2025, the world’s largest gas exhibition held in Milan, Italy. The agreement covers the supply of 1 million tons of LNG annually for 20 years. The event was attended by Lee Gyein, President of POSCO International, and Brandal Duval, CEO of Glenfarne.
This contract also includes a condition for POSCO to supply steel required for the construction of the gas pipeline for the Alaska LNG project.
The Alaska LNG project in the United States is a large-scale initiative estimated at 44 billion dollars (64 trillion won). It involves transporting natural gas extracted from the Prudhoe Bay gas field on the Arctic coast to a port via a 1,300-kilometer pipeline for export. Former President Trump had previously requested Korean companies to participate through equity investment, LNG imports, and involvement in engineering, procurement, and construction (EPC). As a result, POSCO International, which has experience in gas field development, was expected to pursue LNG procurement.
A POSCO International representative stated, "The preliminary agreement is a non-binding letter of intent," adding, "We will decide whether to participate in the final project if the verification of cooperation items, such as steel supply and LNG offtake (where the buyer agrees in advance to purchase quantities before production), proves to be feasible and profitable."
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