The Asian Natural Gas and Energy Association (ANGEA) and the Korea Private LNG Industry Association have signed a memorandum of understanding (MOU) to promote cooperation on natural gas development in Asia and explore the role of liquefied natural gas (LNG) in the energy transition.
MoU signing ceremony; Source: Asian Natural Gas and Energy Association (ANGEA)
The deal is expected to enhance the role of LNG in the era of energy transition and initiate more active and substantial exchanges within the Asian gas industry. This is particularly significant as the International Energy Agency's interim report on coal reveals that coal use will reach an all-time high in 2023, 80% of which will be in Asia, and more than 50% of electricity generation will be from coal-fired power.
The agreement is said to be the first international agreement signed by the Korea Private LNG Industry Association, a South Korean organization made up of energy companies from several countries and established in 2021 with the aim of conducting research activities, supporting technological development, and disseminating related information to the LNG industry and companies.
“We hope that this MOU will serve as an opportunity for Korean companies to strengthen their partnerships with global energy companies and promote their global expansion. We will provide maximum support to help our members actively enter the international market,” said Kim Chang-kyu, vice chairman of the Korea Private LNG Industry Association.
Through the MoU, the two organizations will cooperate in developing policies to enable sustainable development of the natural gas sector, sharing research and data, and implementing joint projects, including in multilateral forums such as Gastech.
Comprised of leading companies such as BP, Chevron, ConocoPhillips, ExxonMobil, Jera, Mitsui OK Lines (MOL) and Woodside Energy, ANGEA serves as a central advocacy group focused on the important role that gas and renewables play in the Asia-Pacific energy mix.
“ANGEA is very pleased to sign this MOU with the Private LNG Industry Association and look forward to working constructively together. LNG has long been a reliable energy source for Korea and continued supplies are essential to the country's energy transition,” said Paul Everingham, CEO of ANGEA.
Another Asia-Pacific country, Australia, recently forecast growing natural gas demand in its Western Australia region and predicted a shortage within 12 to 18 months, prompting LNG project developers to sell gas on the domestic market even though exports would be more profitable.
