STOCKS | South Korea Picks $22 Billion Texas Gas Plant as First U.S. Investment Project

According to local media reports, South Korea has selected a natural gas power project in Encinal, Texas, as its first U.S. investment project under the trade framework agreed with the United States last year. The move could ease friction between Seoul and Washington over South Korea's progress on its investment commitments. The project is reported to carry an investment of about $22 billion and a total planned capacity of 6.3 gigawatts. It would first build 1.4 gigawatts of gas turbine generation capacity, followed by an additional 4.9 gigawatts of combined-cycle generation units. The project is intended to meet rapidly growing electricity demand from artificial intelligence data centers. According to Sina Finance, the South Korean government has not disclosed project details and said on Monday it would not announce anything until related procedures, including a report to parliament, are completed. Media reports said the South Korean government will brief parliament on the investment talks on September 17 and could sign a memorandum of understanding as early as September 18. Other investment options under consideration include eight large nuclear power plant projects and an Alaska liquefied natural gas project.