Home > Business > Industry

Korea to buy 3.3 million tons of U.S. LNG annually for 10 years from 2028

Published: 26 Aug. 2025, 16:51 Updated: 26 Aug. 2025, 17:37

A Hanwha Ocean liquefied natural gas carrier [HANWHA OCEAN CO.]

Korea will buy an additional 3.3 million tons of liquefied natural gas (LNG) from the United States every year for a decade starting in 2028, the Korea Gas Corp. (Kogas) said Tuesday, as the two countries aim to expand cooperation across key sectors, including energy.

Kogas signed the purchase deal with global energy suppliers, including Trafigura, during a roundtable of business leaders from Korea and the United States held in Washington on Monday, following President Lee Jae Myung's first summit with U.S. President Donald Trump.

The contract volume will be supplied from LNG projects operated by global energy firm Cheniere in Texas and other areas, according to company representatives.

The deal follows Seoul's pledge last month to purchase $100 billion worth of U.S. energy products over the next four years in return for lower “reciprocal” tariffs on Korean products to 15 percent from the initially proposed 25 percent.

Kogas said the fresh long-term contract was signed as a result of a bidding process for Korea's energy imports beyond 2028, which began last year.

The contract is expected to help Kogas diversify its import sources, which have been concentrated in the Middle East, the company explained.

Last year, Kogas's contract on annual imports of 4.92 million tons of gas from Qatar expired, and in 2026, the company will conclude another contract on imports of 2.1 million tons of gas annually.

“With the new contract, our multifaceted efforts to diversify import sources for LNG supply stability and enhance the price competitiveness of natural gas have borne fruit,” Kogas CEO Choi Yeon-hye said.

Yonhap