Korea Puts $22B into Texas Power Plant as First US Investment Project

Korea has chosen a natural gas-fired combined-cycle power plant in Encinal, Texas as its first US investment project under the $200 billion strategic commitment to the United States. The project is estimated at $22.3 billion and aims to meet rising electricity demand from semiconductor plants and AI data centers in Texas.

The Texas project will have about 6.3 gigawatts of generating capacity, with a 1.4-gigawatt gas turbine facility expected to start first before adding about 4.9 gigawatts in stages. The government estimates the project will generate $43.29 billion to $45.43 billion over 20 years.

Industry Minister Kim Jung-kwan briefed a National Assembly committee on the projects, saying Korea has selected the Texas project following reviews by committees chaired by the industry and finance ministers. Two other projects are being planned: the construction of eight large nuclear reactors in the US and an investment in the Alaska LNG project.