- On the 22nd, Chairman Chung Mong-gyu conducted an inspection at the Tongyeong Eco Power Construction Site.

- Inspection of the Tongyeong Natural Gas Power Plant, scheduled to begin commercial operation in July 2024, and discussions with employees were held.

- HDC Group aims to establish a sustainable business platform through the expansion of energy-related businesses and integrated projects.

 

Chung Mong-gyu, HDC Group Chairman, inspected the construction site of the Tongyeong Eco Power on the 22nd, which is set to undergo testing at the end of this year, and reviewed the progress of the project.

 

During his visit, Chairman Chung Mong-gyu was accompanied by HDC Group's key executives, as well as strategic investors in the Tongyeong Natural Gas Power Project, including Kim Hee-cheol, CEO of Hanwha Energy. The construction of the Tongyeong Eco Power site, where construction work is in full swing for the upcoming end-of-year testing, was observed. During his visit, Chairman Chung Mong-gyu also engaged in discussions with on-site employees and inspected the progress of the construction.

 

In addition, he visited the nearby gas facility, Tongyeong LNG Receiving Terminal, guided by Kim Jong-sung, Head of Gijibonbu at Korea Gas Corporation, to understand the major facilities in the area.

 

Chairman Chung Mong-gyu stated, "Tongyeong Eco Power will play a pivotal role in HDC Group's future-focused green energy business, contributing not only to the stability of the national power supply but also to the economic revitalization of Tongyeong." He emphasized, "Let's remain vigilant until the end and prioritize safety throughout the construction process." He also added, "This project, which is being carried out with the collective efforts of strategic partners such as Hanwha Energy, Hanwha Construction, Korea Gas Corporation, and the Ministry of Trade, Industry, and Energy, is expected to be recognized as a successful venture for both the public and private sectors."

 

HDC Group's Tongyeong Eco Power is a private project advancing the Tongyeong Natural Gas Power Project, undertaken by HDC Group to stabilize South Korea's power supply and boost local economy. HDC (60.5%), Hanwha Energy (26.5%), and Hanwha (13%) are major shareholders. The project was included in the 6th Basic Plan for Power Supply and Demand released by the government in 2013 and further reflected in the 9th Basic Plan in December 2020. With an investment of about 1.3 trillion KRW in the Gasa Industrial Complex in Tongyeong, Gyeongsangnam-do, the construction of the LNG power plant, which includes a 1,012MW natural gas-fired unit and a 200,000kL LNG tank, was about 70% complete as of May. Commercial operation is scheduled to begin in December this year, with completion set for June 2024.

 

Tongyeong Eco Power is also contributing to the local economy. During the construction period, an average of around 900 workers per day, totaling 700,000 people annually, are being employed, infusing vitality into the local economy. Additionally, the project is prioritizing the procurement of local personnel and equipment. Tongyeong City and Goseong County in Gyeongsangnam-do have also benefited from the project, attracting population influx and receiving special support for the area surrounding the power plant from the government.

 

HDC Group has focused on venturing into South Korea's energy sector, which has high energy dependence, to create a business framework that enhances national competitiveness. The selection of the Tongyeong Eco Power site was a meticulous process. HDC acquired land adjacent to the Tongyeong LNG Production Base operated by Korea Gas Corporation and became the first to agree on facility usage with Korea Gas Corporation, enabling shared use of LNG storage tanks between Tongyeong Eco Power and Korea Gas Corporation. Moreover, Tongyeong Eco Power actively utilized its geographical advantage, including direct import of LNG into the plant through Korea Gas Corporation's LNG terminal facilities. This allowed Tongyeong Eco Power to secure cost competitiveness in power generation, while Korea Gas Corporation benefitted by generating revenue through facility usage fees and entrusted terminal operation. As a result, a win-win business structure was formed between a public entity and private enterprise.

 

A representative of Tongyeong Eco Power stated, "The Tongyeong Natural Gas Power Project is HDC Group's first venture into the energy development sector, and it has been meticulously planned and executed in terms of business feasibility, economic viability, profitability, and expansibility." The representative emphasized, "As the Tongyeong Natural Gas Power Plant construction project employs only clean fuel LNG, it will simultaneously boost the economy and contribute to the environment, ultimately promoting the future growth of the region." 

 


 

<Photo 1> HDC Group Chairman Chung Mong-gyu, along with HDC Group executives and representatives from Hanwha Energy and Hanwha Construction, visited the Tongyeong Eco Power site in Gyeongsangnam-do, Tongyeong City, located in the Gijang National Industrial Complex, on the 22nd for an inspection. (From left to right: Lee Heung-bok, CEO of Tongyeong Eco Power; Chung Mong-gyu, HDC Group Chairman; Park Jin-ho, Head of Construction Management at Tongyeong Eco Power)

 


 

<Photo 2> HDC Group Chairman Chung Mong-gyu, along with HDC Group executives and representatives from Hanwha Energy and Hanwha Construction, visited the Tongyeong Eco Power site in Gyeongsangnam-do, Tongyeong City, located in the Gijang National Industrial Complex, on the 22nd for an inspection. (From the third person on the left in the first row: Choi Ik-hoon, CEO of Hyundai Development Company; Chung Kyung-gu, CEO of HDC; Chung Mong-gyu, HDC Group Chairman; Kim Hee-cheol, CEO of Hanwha Energy; Yoo Byung-kyu, Vice Chairman of Hyundai Development Company)

 


 

<Photo 3> A panoramic photo of the Tongyeong Natural Gas Power Plant located in the Gijang National Industrial Complex in Tongyeong, Gyeongsangnam-do.