SK Gas Empowers Ulsan with Eco-Friendly Hydrogen Power

SK Gas has proudly declared its selection as one of five operators for general hydrogen power generation in the first six months of 2023. The Ministry of Trade, Industry, and Energy unveiled this decision, marking a notable advancement in South Korea's aspirations for hydrogen energy.

Included among these operators is Lotte SK Enerut, a collaborative venture that emerged in September 2022 through the partnership of SK Gas (10%), Lotte Chemical (45%), and Air Liquide Korea (45%). The primary focus of this venture lies in hydrogen power generation derived from by-products, along with a hydrogen transportation business.

The core element of Lotte SK Enerut's undertaking revolves around the establishment of a cutting-edge 10MW hydrogen fuel cell power plant situated at Lotte Chemical's Ulsan facility. This state-of-the-art plant is slated to function for an impressive span of nine years, commencing in 2020. The strategic positioning of this venture has enabled it to secure a consistent supply of by-product hydrogen sourced from SK Gas' subsidiary and Lotte Chemical Group, ensuring the ongoing operational sustainability of the power plant.

A noteworthy aspect of this initiative is its strong commitment to a hydrogen-only model that maintains carbon neutrality. This model not only eradicates carbon emissions but also showcases its adaptability by facilitating fuel conversion without requiring substantial adjustments to the infrastructure.

Upon its completion, the hydrogen fuel cell power plant is anticipated to produce approximately 20 MWh (megawatt hours) of clean energy on an annual basis. This substantial energy yield holds the potential to power approximately 4,400 households in the Ulsan region, thereby positively influencing local communities and economies. The resulting increase in tax revenue and job opportunities serves as a testament to the diverse advantages of embracing sustainable energy practices.

CEO Yoon Byung-Seok of SK Gas conveyed his enthusiasm, affirming that "SK Energy's selection as a hydrogen fuel cell power generation company marks a significant step forward for SK Gas' hydrogen business." He further reinforced the company's unwavering dedication to nurturing a robust hydrogen value chain within South Korea, driven by consistent investment and unwavering commitment.

This audacious initiative by SK Gas and its partners not only pioneers environmentally friendly power generation but also establishes a compelling precedent for harnessing innovative technologies to shape a more ecologically sound future. With hydrogen emerging as a transformative factor in the energy sector, projects like Lotte SK Enerut's hydrogen fuel cell power plant are propelling South Korea toward a cleaner and more sustainable energy landscape.