Korea Refuses to Commit $50 Billion to Alaska LNG Project Without Commercial Rationale
U.S. President Donald Trump's announcement that Korea will invest more than $50 billion in an Alaska liquefied natural gas (LNG) project has put Seoul in an awkward position.
The White House statement, made on Wednesday, suggests that Korea has agreed to participate in the project, but industry minister Kim Jung-kwan has repeatedly stressed that Korea only invests where there is 'commercial rationality.'
Kim described the Alaska gas pipeline as a high-risk project and said Korea could participate only in projects capable of generating sustainable cash flows.
The Trump administration may see this investment as settled, but Seoul does not. The disagreement is not merely procedural, it goes to the heart of how public money and corporate capital should be allocated.