South Korean power company Korea Midland Power (KOMIPO) has signed a memorandum of understanding with Malaysia’s Petronas to collaborate in the LNG and renewable energy sectors.
The South Korean company said the aim of the partnership is not only to cooperate on the liquefied natural gas business sector, but also to develop renewable energy projects.
It is the utility’s second cooperation deal it signed this year, as it previously tightened its ties with the trading company Vitol. The two companies are also aiming to explore upstream, midstream and downstream project opportunities.
Under an existing long-term supply and purchase agreement (SPA), signed in 2015, Vitol agreed to supply KOMIPO with 400,000 tons of LNG annually for 10 years.
KOMIPO, a unit of the state-controlled Korea Electric Power Corporation (KEPCO) started LNG imports in 2015 and is currently importing around 850,000 tons of LNG per year.