SK Gas has announced that Ulsan Gas Power Solution (Ulsan GPS) has completed its commercial operation notice and has commenced commercial operation. It successfully expanded its business model from liquefied petroleum gas (LPG) to liquefied natural gas (LNG) power generation.
After promoting the Ulsan GPS project in 2019, SK Gas began construction in March 2022. Following the introduction of LNG at Korea Energy Terminal (KET) in April this year, it began trial operations from May through initial ignition, and this month, it has secured operational stability and started full-fledged commercial operations.
Ulsan GPS is the world’s first LNG-LPG dual-purpose gas combined power plant, constructed with an investment of 1.4 trillion won by SK Gas in March 2022. The equity structure is 99.5% SK Gas and 0.5% Korea Development Bank. With a power generation capacity of 1.2 gigawatts (GW), it is comparable to one nuclear power plant, which can provide electricity for 2.8 million households based on an average monthly usage of 250 kWh per household.
It boasts high power generation efficiency by installing the latest and most efficient gas turbines among domestic LNG power plants, and it can reduce transportation costs by receiving LNG directly via pipes from KET, located 5 km away. While LNG is the primary fuel, it can also switch to LPG as an alternative fuel when LNG prices exceed LPG prices, enabling stable power production even amid significant fluctuations in international energy prices.
