South Korea says high chance of 14 billion barrels off coast

South Korea

SEOUL, June 3, 2024 – South Korean president Yoon Suk Yeol has said there is a very high probability of reserves of 14 billion boe of oil and gas existing off the country’s coast, Reuters reported on Monday.

The revelation took place in a press conference where the president announced he had approved exploratory drilling in the offshore area.

A USD 363-million campaign will begin by the end of this year, the report cited him as saying, with hopes of discovering oil within the first half of 2025. Drilling will be conducted by US E&P player Act-Geo.

In giving the 14-billion figure, the president cited a recent report reviewed by industry experts. The reserves would cover 29 years of the country’s gas consumption and four years of its oil consumption. Their production could help normalise domestic power prices, according to Bloomberg.

He noted that the country’s exploration efforts over the past several decades have yielded gas reserves of around 4.5 million boe.

Shares in state-run Korea Gas Corporation surged by 30% following Monday’s news.