Channel NewsAsia

South Korea, Turkmenistan sign US$4b gas deals

South Korean leader Park Geun-Hye on Friday oversaw the signing of $4 billion in agreements to build natural gas-processing plants in the isolated energy-rich Central Asian nation of Turkmenistan.

ASHGABAT, Turkmenistan: South Korean leader Park Geun-Hye on Friday oversaw the signing of US$4 billion in agreements to build natural gas-processing plants in the isolated energy-rich Central Asian nation of Turkmenistan.

Park and her host Gurbanguly Berdymukhammedov presided over the inking of a number of agreements including a preliminary deal between state gas company Turkmengaz and South Korea's LG and Hyundai to build gas-processing plants.

"Today we've signed two agreements to implement two major projects worth US$4 billion dollars," said the Turkmen leader.

Park -- who was on her first visit to Turkmenistan as part of a Central Asia tour -- said the two countries complemented each other economically.

"You have energy resources and we are experienced in economic development and high-tech," Park said in translated remarks. "If we combine these advantages then this will create a basis for successful, mutually-beneficial cooperation."

The ex-Soviet hermit state of Turkmenistan sits on the world's fourth-largest natural gas reserves and also boasts vast oil deposits.

But the country remains one of the world's most isolated nations almost two-and-a-half decades after the collapse of the USSR and its decision making is opaque.

South Korean businesses are already present in Turkmenistan, having implemented nine projects worth US$5.5 billion, said Berdymukhammedov.

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