South Korea’s Korea Electric Power Corp and four of its thermal power utilities are considering to invest in coal assets in the US, in line with a long-term strategy of diversifying the origin of the country’s coal imports, industry sources said Monday.
The equity investment will provide the South Korean companies with an offtake agreement.
A memorandum of understanding for a possible joint venture was signed between the South Korean entities and a US coal miner, one of the sources said. He, however, declined to identify the US company or the location of the mines which were being considered for the imports.