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26

Gas project may unite peninsula

South Korean officials are visiting Pyongyang to discuss building a $US12billion gas pipeline ...

South Korean officials are visiting Pyongyang to discuss building a $US12billion ($A23.03 billion) gas pipeline though North Korea from Russia and China to increase economic ties across the divided peninsula.

The Ministry of Commerce, Industry and Energy said Korea Gas Corp's vice-president, Kim Jong Sool, and five other officials were meeting yesterday in Pyongyang for two days to discuss extending the pipeline through North Korea.

South Korea, the second-biggest buyer of liquefied natural gas, wants the pipeline to reduce dependence on South-East Asian and Middle-Eastern fuel.

The gas supply plan may become the biggest investment in North Korea by the South, where President Kim Dae Jung has been campaigning to reunify the countries that went to war in 1950.

The northern route may be cheaper than an undersea one from China and create jobs in the North, where many of the 21 million citizens live close to starvation.

The project involves PetroChina and Rusia Petroleum

theage.com.au