To Explore New Business Opportunities in China
SK E&S announced on May 26 that it has signed a strategic cooperation agreement with Beijing Gas Group, the largest single city gas supplier in China's city gas industry.
A signing ceremony was held at the World Gas Congress (WGC 2022) site in Daegu on tMay 25 with the attendance of SK E&S CEO Yu Jeong-joon and Beijing Gas Group chairperson Li Yalan.
Beijing Gas Group is under the Beijing City Government and is the largest natural gas operator in China's Hebei region. It operates a 29,900-km-long natural gas pipeline network in and around Beijing and supplying natural gas to about 7.13 million households.
The two companies decided to build a strategic cooperative relationship in the LNG and hydrogen business fields in China. They agreed to share operational know-how about major assets such as LNG terminals in China, and cooperate further in LNG imports and natural gas sales.
In the hydrogen production field, they will consider producing blue hydrogen based on carbon capture, storage and utilization (CCUS) technology at the Tianjin LNG Terminal under construction by Beijing Gas Group, and green hydrogen in connection with new renewable energy projects.
Moreover, they agreed to consider putting hydrogen into natural gas pipelines owned by Beijing Gas Group and building a hydrogen fuel cell power plant.