Page 13 - Korea Gas Corporation 40 years

Jan. 1983. The launch of a secretariat for KOGAS Founding Committee CHAPTER.01 | USHERING IN THE ERA OF CLEAN, SAFE NATURAL GAS

Corporation (KEPCO) as the lead company for the project. KEPCO was
responsible for negotiating a long-term LNG import contract with Indonesia
and signed a 20-year contract in February 1983, after more than two years
of negotiations. In April 1983, KEPCO broke ground on the construction
of Korea's first LNG plant, Pyeongtaek LNG Terminal, followed by the
construction of a pipeline network in the Seoul Metropolitan Area. In February
1987, natural gas was finally supplied to the Seoul Metropolitan Area.

Establishment and Development of Korea Gas Corporation
The government believed it is neither effective nor efficient for KEPCO, which
was in charge of the electric power business, to handle the natural gas business
as well, and thus, decided to establish a separate company to take charge of
the natural gas business. On December 31, 1982, the Korea Gas Corporation
Act (Act No. 3639) was enacted, followed by the creation of the Korea Gas
Corporation Establishment Committee and the enactment of the Articles of
Incorporation, and on August 31, 1983, Korea Gas Corporation (KOGAS) was
founded, opening a new chapter in Korea's energy history.
KOGAS began as a small company with 247 employees in total, but quickly
expanded to include organizations related to the construction of terminals and
main pipelines. When the construction of the first phase of the Pyeongtaek
LNG Terminal was completed in July 1987, KOGAS underwent a significant
reshuffle to focus on facility operations and sales. In the same year, the
company sold 1.61 million tons of natural gas in the Seoul Metropolitan Area,
marking the first big result since its founding. 19