South Korean energy producer Posco Energy said Wednesday it had begun operations of its new liquefied natural gas carrier business the same day, becoming the first private LNG terminal operator in the country to do so.

An opening ceremony took place Wednesday at Gwangyang LNG Terminal in South Jeolla Province, nearly two months after the energy business arm of major steelmaker Posco received a business license from the Ministry of Trade, Industry and Energy in September.

The company explained that its business will deal with bringing in LNG and storing it in LNG tanks inside designated customs bonded zones, before suppling it to buyers. It also noted that given the location, its Gwangyang LNG Terminal is capable of meeting the growing demand for LNG in neighboring countries such as China and Japan.

Last month, Posco Energy signed a memorandum of understanding with Mitsui & Co. to enhance business efficiency.

By Yim Hyun-su (hyunsu@heraldcorp.com)