South Korea bets big on green fuel at Ulsan

In the UK, Lloyd’s List reported South Korea will invest Won1trn in green marine fuel infrastructure by 2030, starting with Ulsan Port, to meet rising demand for eco-friendly fuels and bolster its ports’ global competitiveness. The Ministry of Oceans and Fisheries and Korea Ocean Business Corporation launched the initiative, with funds split between Won400bn for four bunkering vessels and Won600bn for fuel storage facilities for LNG, methanol, and ammonia.

The first project, a Won240bn expansion at Hyundai Oil Terminal in Ulsan, includes Won130bn from the fund. It aims to stabilize methanol fuel demand for both South Korean and international vessels. “The ability to supply environmentally friendly marine fuel determines the competitiveness of ports,” the MoF said.

The second project will establish a Won1.4trn LNG hub terminal in Yeosu Myodo by 2027, funded separately but aligning with this broader green strategy.

A signing ceremony on January 14 formalized partnerships, including Korea Development Bank and Hyundai Oil Terminal. South Korea’s approach also features subsidies and financial backing to encourage private sector participation. By focusing on green fuel supply, the government aims to position Ulsan as a global leader in sustainable shipping.

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