Hanwha to Establish an LNG Control Tower in the U.S.

[Financial News] Hanwha Aerospace has established a dedicated U.S. subsidiary for its liquefied natural gas (LNG) business, Hanwha Horizon USA, creating a forward base for its push into the global energy market. The move is a bold step to expand the group's business scope into an integrated energy and security solutions company that spans defense, shipbuilding and offshore businesses, as well as the LNG value chain.
According to industry sources on the 25th, Hanwha Aerospace will use Hanwha Horizon USA to directly handle the full range of LNG operations, including sales, transportation and trading. The entity will serve as the control tower for the LNG business, overseeing procurement, trading and logistics optimization. James Sagar, CEO of Hanwha Shipping, who has more than 30 years of experience in the marine and energy sectors, will also serve as the subsidiary's head. Assigning the role to a leader with ship operations expertise suggests an effort to tightly connect the value chain from transportation to supply and power generation from the outset.
Hanwha Horizon USA's first stage will be in South Korea. The company plans to secure stable demand by supplying fuel to Hanwha Energy Corporation's Yeosu LNG power plant, which is scheduled to begin commercial operation in 2029, and then expand supply to power producers and energy companies at home and abroad. In the longer term, it aims to fully launch LNG trading in global markets, including Asia. By leveraging its own power generation demand, the company seeks to increase trading volumes and then protect margins through stronger transportation competitiveness, creating a virtuous cycle.
Hanwha's LNG business goes beyond a simple new venture and is closely tied to the national task of energy security. As the global energy supply chain is shaken by the Russo-Ukrainian War and instability in the Middle East, securing stable LNG supplies has become directly linked to national competitiveness. In particular, as South Korea–United States relations are elevating energy cooperation into a trade and security agenda, expanding imports of U.S. LNG aims to address trade issues with the United States while strengthening energy security. The company expects that a stable LNG supply chain will also allow it to build integrated security partnerships with customer countries that span energy and defense.
The foundation is already being laid. Hanwha Aerospace has signed a purchase agreement with Venture Global, one of the leading LNG producers in the United States, securing long-term supply volumes. Venture Global is an emerging player operating large-scale liquefaction facilities along the U.S. Gulf Coast, and the deal provides a channel for stable procurement of competitively priced volumes. In addition, the company has signed a memorandum of understanding with Korea Southern Power to strengthen global LNG cooperation through Team KOREA, while also pursuing supply chain diversification. The initiative is drawing attention as a Korean-style joint procurement model in which a state-owned power company and a private company combine purchasing power.
Hanwha's broader vision is built on group-wide synergies. Hanwha Ocean's LNG carrier construction capabilities, Hanwha Shipping's vessel operation know-how, Hanwha Energy Corporation's power generation business and Hanwha Aerospace's procurement and trading functions are being linked into a single chain. Being able to handle the entire process in-house — building ships, operating them, buying and selling gas, and generating electricity — is a differentiated strength even when compared with global energy majors.
A Hanwha Aerospace official said, "The establishment of Hanwha Horizon USA is an important turning point that connects our global LNG procurement capabilities with our shipbuilding and offshore business competitiveness." The official added, "We will build a stable LNG supply chain that can respond flexibly to market changes and continue expanding a differentiated LNG value chain in the global energy market."

[email protected] Kang Gu-gui Reporter