South Korea and Kazakhstan agreed on two US$4 bln projects for constructing a thermal power plant and a petrochemical complex in the Central Asian nation. The thermal power plant is expected to generate about 7% of Kazakhstan's electricity needs.
A meeting between the two heads of states fructified into signing of an agreement which confirmed South Korea's 70% stake in a US$4 bln project to build a coal-fired power plant in Balkhash. Korea Electric Power Corp (KEPCO) and Samsung C&T currently hold a 35% stake each in the project to build a 1,320-megawatt plant.
In addition, LG Chem, South Korea's largest chemical company, signed a deal worth US$4 bln with Kazakhstan Petrochemical Industries (KPI) to develop a large petrochemical complex in Atyrau with capacity to produce 840,000 tpa of ethylene and 800,000 tpa polyethylene. Export-Import Bank of Korea signed an agreement with Kazakhstan Petrochemical Industries, LG Chem Ltd. and Korea Trade Insurance Corp. to help finance the project