Korea Bumps Up Texas LNG Investment to $22.3 Billion Under US Pressure
The South Korean government has finalized an investment deal with the United States worth $22.3 billion, up from an initial $16.8 billion, to fund a liquefied natural gas combined-cycle power plant in Encinal, Texas.
According to Seoul Economic Daily, the price increase was due to US demands for additional costs related to water infrastructure and other items, which pushed the figure up by more than 25%.
The project will have a combined capacity of 6.3 gigawatts, equivalent to the generating capacity of 4.5 APR1400 nuclear reactors, and is expected to take advantage of rising power demand in Texas driven by advanced semiconductor plants and artificial intelligence data centers.
The investment agreement also includes language for talks on selecting nuclear plant construction in the US as a follow-up project, with both sides agreeing on Korean participation but still discussing specifics such as reactor design and investment method.