National Assembly to receive report on investment in the U.S. as early as the 22nd

[Financial News] The Ministry of Trade and Industry and the Ministry of Economy and Finance will report the results of investment negotiations with the U.S. to the National Assembly as early as the coming 22nd.
An official from the National Assembly Finance and Economic Committee revealed this progress in a phone call with Financial News on the 20th. Regarding the possibility of receiving a report on the 21st, the official drew a line, stating, "It seems difficult."
The government was initially expected to report the details of the investment negotiations with the U.S. to the National Assembly Finance and Economic Committee and the Trade, Industry, Energy, SMEs and Startups Committee on the 17th, followed by the signing of a Memorandum of Understanding (MOU) on the 18th; however, the schedule was postponed as detailed negotiations regarding "commercial rationality" between South Korea and the U.S. continued. When the report to the National Assembly takes place, the main focus is expected to be on how much commercial rationality the Korean side has secured, including the specific business structure and investment conditions of the U.S. investment project.
Currently, the Encinal gas combined-cycle power plant project in Texas is being strongly considered as the first investment project in the U.S. With the total project cost estimated at $22.3 billion (approximately 31 trillion won), key issues include conditions that will determine future profitability, such as the investment structure and long-term power purchase agreements (PPAs).
Attention is also focused on the size and timing of the first investment. This comes as it is reported that the U.S. side has requested the South Korean government to first remit an investment of approximately $10 billion (about 14 trillion won) within this year. While South Korea and the U.S. initially agreed to execute strategic investments worth $200 billion (about 280 trillion won) with an annual limit of up to $20 billion (about 28 trillion won), the government maintains that the specific amount and timing of the remittance have not yet been finalized.
Nuclear power cooperation is also a major area of interest. While South Korea and the United States are discussing cooperation plans, including the construction of eight large nuclear power plants in the U.S., it is reported that they are continuing detailed negotiations regarding equity investment in Westinghouse Electric Company and the scope of participation for the Korean-designed APR1400 reactor. South Korea is pursuing a plan to secure a stake of around 15% in Westinghouse Electric Company, and a proposal to include at least two APR1400 reactors among the eight is also being discussed.
Participation in the Alaska liquefied natural gas (LNG) project, which the U.S. has shown interest in, and the terms of investment are also points of contention. The government has maintained the position that it will decide whether to participate after assessing the commercial rationality of the project.

[email protected] Song Ji-won Reporter