South Korea on Thursday launched an ambitious project to become Northeast Asia's oil storage hub, which officials said will create new business opportunities and ensure energy security.
A joint venture contract was signed by state-run Korea National Oil Corp. (KNOC), local refiner SK Energy, GS-Caltex, Oiltanking Asia Pacific and Glencore Singapore, officials said.
KNOC agreed to hold a 29 percent stake in the joint venture, which will invest 320 million dollars to increase storage at the southern port of Yeosu to six million barrels by 2011.
South Korea, the world's fifth largest crude importer, also plans to build new storage facilities at Ulsan on the southeast coast.