SEOUL, Feb. 27 (Yonhap) — Hanwha Aerospace Co., South Korea’s leading defense systems manufacturer, has entered the global liquefied natural gas (LNG) distribution business by signing a 20-year purchase deal with a supplier in the United States, the company said Friday.
Under the contract signed with U.S. LNG exporter Venture Global, Hanwha Aerospace will annually purchase 1.5 million tons of LNG over 20 years starting in 2030, and distribute the volume to potential customers in key regions, including Europe and Asia, according to the company. Financial terms of the purchase agreement were not released.
The annual volume represents about 4.4 percent of South Korea’s total LNG consumption as of 2024, which stood at 34.12 million tons.
Hanwha Aerospace said the deal is part of a broader strategy to build a global LNG value chain by leveraging capabilities across affiliates. Shipbuilding affiliate Hanwha Ocean Co. has expertise in LNG carrier construction and Hanwha Energy Co. boasts LNG power generation capabilities.
Hanwha Aerospace previously invested 180 billion won (US$125.2 million) in U.S. LNG firm NextDecade in 2024. The company said the LNG business will serve as a new growth driver that could also strengthen the global competitiveness of its core defense and shipbuilding operations.
This photo provided by Hanwha Aerospace Co. shows a liquefied natural gas (LNG) terminal owned by Venture Global in the U.S. state of Louisiana. (PHOTO NOT FOR SALE) (Yonhap)
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(YONHAP NEWS)