Seoul, South Korea – Korea Gas Corporation (KOGAS) announced plans on [Date] to significantly increase its imports of liquefied natural gas (LNG) from the United States. This strategic move is seen as a bid to diversify its energy supply and improve trade relations with the US.
The South Korean state-run gas company has selected several US companies as preferred bidders for long-term LNG supply contracts and aims to finalize agreements by June 2025. This comes as the South Korean government seeks to address growing trade tensions with the US and reduce its reliance on traditional suppliers in the Middle East.
While US LNG may be more expensive and take longer to ship compared to supplies from the Middle East, KOGAS believes the benefits of diversification outweigh the costs. By increasing its imports from the US, KOGAS aims to strengthen its negotiating position with existing suppliers and ensure a more stable and reliable supply of LNG.
The move is expected to have significant implications for both the South Korean and US energy markets. For South Korea, it will help to diversify its energy supply and reduce its vulnerability to supply disruptions. For the US, increased LNG exports to South Korea will boost domestic production and support the country's position as a leading global energy exporter.
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