From left: Korea Southern Power President Shin Jung-shik, Hanwha Energy CEO Jung In-sub, and Korea Gas Corp. CEO Chae Hee-bong pose for a photo after signing a contract to jointly work on Vietnam’s gas power generation and LNG terminal business at Seoul Plaza Hotel on December 19, 2019. (Photo: Hanwha Energy)

Hanwha energy said that it signed a memorandum of understanding with Korea Gas Corporation (KOGAS) and Korea Southern Power (KOSPO) to collaborate on the LNG project under a consortium called “Korea Consortium.”

Hanwha Energy said it will take the leading role of supervising overall business development and supply of LNG in Vietnam. The company said KOGAS will be responsible for constructing and operating the LNG terminal, as well as providing technical support, while KOSPO will xtend its expertise and know-how in construction and operation of the LNG power plants.

It cited Vietnam’s unstable supply of power, which could translate into an opportunity for the companies. In the case of Vietnam’s southern region, although half of the country’s total electricity is consumed there the power generation capacity hovers at 37 percent, Hanwha Energy said.