The Northeast Asia LNG Hub Terminal announced on the 28th that it has signed a project financing (PF) loan agreement worth approximately 1.1 trillion won for the development of the Northeast Asia LNG hub terminal.
This PF loan agreement involved 10 institutions, including Shinhan Bank as the financial intermediary and the regional revitalization fund and the Korea Small Business Bank as the main lenders.
This project is significant as it is the largest project selected from the investment funds established by the Ministry of Economy and Finance and the Korea Development Bank, and it is the first project to sign a PF loan agreement. The Housing and Urban Guarantee Corporation (HUG) secured repayment stability through a special PF guarantee for regional revitalization.
The Northeast Asia LNG hub terminal development project is funded by BS Hanyang, GS Energy, Jeollanam-do, and Yeosu City. Approximately 1.4 trillion won will be invested in the project to establish three LNG storage tanks capable of holding 200,000 kiloliters and supporting facilities in the Myodo area of Yeosu City, Jeollanam-do. The commercial operations are expected to begin at the end of 2027 (Units 1 and 2) and at the end of 2028 (Unit 3), with total completion targeted for March 2029.
Once the terminal is completed, it will be capable of supplying 3 million tons of LNG annually, with numerous energy corporations located near the Yeosu National Industrial Complex expected to be major consumers.
A representative of the Northeast Asia LNG Hub Terminal noted, "We will provide LNG services to various consumers, such as LNG combined cycle power generation, district energy projects, and LNG bunkering, and further establish an international hub that offers comprehensive services in logistics, finance, and LNG trading to become a central player in the LNG market."