US President Donald Trump announced on Wednesday South Korea's investment of $200 billion in the United States energy sector. These funds include $54 billion designated for an LNG project in Alaska, which Seoul stated has not yet been finalized.
Previously, South Korea agreed to invest $350 billion in the US and increase its purchases of American energy under a trade agreement with Trump, concluded in July 2025. This agreement stipulated the introduction of 15 percent tariffs on imports from the East Asian country.
In addition to the LNG project in Alaska and a pipeline, the Trump administration announced a $22.3 billion natural gas power plant project in Texas, which will be supported by South Korea.
On his Truth Social account on Thursday, Seoul time, Trump wrote: 'The United States and Korea have agreed to start joint work on a $50 billion LNG project in Alaska.' He also added: 'A huge $22 billion, 6.4 gigawatt natural gas project in Encinale, Texas. This will provide huge new, reliable power capacity for Texas.'
According to a statement from the US Department of Commerce, the facility in Texas will supply 6,472 MW of energy to data centers located in Encinale, and it is expected to begin full operation by 2032. Seoul confirmed on Thursday that both sides intend to 'continue working on the $22.3 billion natural gas power plant project' in Texas, intended for 'powering co-located data centers.'
However, it was clarified that the Alaska LNG project 'will be considered subject to its commercial viability and compliance with relevant domestic legal procedures.' The South Korean Ministry of Trade stated in its release: 'No decisions have been made regarding investment in the project or the scale of any potential investment.'
President Lee Jae-myung also stated on Thursday that Seoul would begin work on the project provided that '1) its commercial viability is confirmed and 2) it complies with South Korean legal procedures.' Lee noted that negotiations on these projects last month were 'very complex and difficult,' adding that he found some conditions 'difficult to accept' but did not go into detail.
In addition to the Alaska and Texas projects, Trump reported that the two countries are 'moving forward' within a $120 billion nuclear energy program, which involves building eight large-scale reactors in the United States. The US Department of Commerce specified that this amount includes $100 billion for construction costs and $20 billion in contingency reserves.
Lee also stated on Thursday that the nuclear project would depend on the 'commercial viability' of each individual reactor. The South Korean Ministry of Trade emphasized that the projects in the US would be 'implemented in a manner that serves national interests.'
The Alaska project, overseen by developer Glenfarne Group, based in New York and Houston, involves constructing an 800-mile (1300-kilometer) pipeline to transport gas from the North Slope to a liquefaction complex near Anchorage for export to Asia. Although Alaska has been an oil producer for decades, some developments have historically been limited by environmental issues.
However, the Trump administration largely ignored these concerns, repealing emission reduction regulations accused of contributing to global warming. Experts note that the industrial growth planned by Trump for his large-scale energy projects faces a potential labor shortage.
According to a report published on Wednesday by the Alliance of Skilled Workers America, an organization including major companies such as Ford, Blackstone, and Nvidia, the United States needs to fill about 1.7 million skilled worker vacancies by 2035. The report found that current training programs produce only 55 workers for every 100 needed.
