A Trans-Korean National Gas Pipeline : Feasibility Study

The objective of this report is to assess the feasibility of a 3200 kilometer Trans-Korean natural gas pipeline. This project would run from the urban center of Vladivostok in the Russian Far East, through the Democratic People’s Republic of Korea (DPRK), with a final destination of Seoul, the capital city of the Republic of Korea (ROK) (App. F. 2.). To begin, South Korea, The Russian Federation, and North Korea are evaluated in respect to their current energy situations, political climate, and level of interest in an international energy scheme. Although this report recommends that the pipeline proposal be undertaken by firms, the national agendas of these countries cannot be ignored. There are several reasons for this. First, energy policy is of primary importance to all three nations. For Russia, energy exports are the cornerstone of both economic and political power. In South Korea, energy security is integral for continuing growth while in North Korea it is the lack of such energy that has been one of the primary reasons for economic stagnation. The second reason is the traditional involvement that all states have played in their energy sectors. Moreover, the firms most appropriate for undertaking this project are both controlled by state governments.