The Asia Natural Gas and Energy Association (ANGEA) and the Korean Private LNG Industry Association have inked a memorandum of understanding (MOU) to foster cooperation on natural gas development in Asia and explore the role of liquefied natural gas (LNG) in the energy transition.
The deal is expected to boost the role of LNG in the era of energy transition and initiate more active and substantial exchanges within Asia’s gas industry. This is particularly relevant as the International Energy Agency ’s Coal-mid year update revealed that coal use reached an all-time high in 2023, 80% of which was used in Asia, where more than 50% of power generation is coal-fired.
The deal is said to be the first international agreement signed by the Korean Private LNG Industry Association. Formed in 2021 to provide research activities, support for technology development, and disseminate relevant information among the LNG industry and businesses, the South Korean organization comprises several country’s energy players.
“We expect this MOU to serve as a catalyst for domestic companies to strengthen partnerships with global energy firms and promote their global expansion. We plan to provide maximum support for our members to actively enter international markets,” noted Chang-kyu Kim, Vice President of the Korean Private LNG Industry Association.
Through the MOU, the two organizations intend to cooperate on developing policies enabling sustainable development in the natural gas sector, sharing research and data, and working on joint projects, including multilateral forums such as Gastech.
Comprising majors such as BP , Chevron , Conoco Phillips , ExxonMobil , Jera , Mitsui OK Lines (MOL) , Woodside Energy , and others, ANGEA functions as a centralized advocacy body, focusing on ensuring the critical role of gas and renewables in Asia Pacific’s energy mix.
“ANGEA is very pleased to enter into this MOU with the Private LNG Industry Association and we look forward to working together constructively. LNG has long been a source of reliable energy for South Korea and ongoing supply will be essential to the country’s energy transition,” said ANGEA CEO, Paul Everingham.
Another country belonging to the Asia-Pacific region, Australia, recently foresaw a rise in natural gas demand in the Western Australia region, forecasting shortfalls within 12 to 18 months. Thus, LNG project developers were urged to sell gas on the domestic market even when exports might be more profitable.