South Korea, US agree on more than $20 billion gas plant investment in Texas, media reports


SEOUL, Sept 7 (Reuters) – South Korea and the United States have agreed on the size of Seoul’s planned ‌investment in a gas project in Texas at ‌around $22.3 billion, Korean media outlet Edaily reported on Monday, citing unidentified officials ​and politicians.

The project, which would be Seoul’s first U.S. investment under last year’s trade agreement, aims to build a 6.3-gigawatt gas plant in Encinal, Texas, to meet rising power demand for ‌AI data centres, according ⁠to the media reports.

The investment would be part of the trade deal signed by the two ⁠allies last year, under which Seoul pledged $350 billion worth of U.S. investments in exchange for favourable U.S. tariffs on imports of ​South ​Korean goods.

The reports did not ​say whether Seoul would shoulder ‌the whole cost of the Texas project.

Seoul is also considering other potential projects in the United States, including building a large-scale nuclear power plant or a liquefied natural gas project in Alaska, the reports said.

South Korea’s Industry Ministry said reports ‌on the Texas gas project were ​inaccurate and that consultations between Seoul ​and Washington were ​continuing, making it difficult to confirm specific details.

The ‌South Korean government would make ​an announcement after ​completing negotiations with the U.S. and taking into account procedures such as parliamentary approval, the ministry added.

In a ​separate statement, the ‌ministry said no decision had been made on building ​a nuclear power plant in the United States.

(Reporting by ​Heejin KimEditing by Ed Davies)



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