Hanwha Energy to boost Inchon plant output

South Korean company Hanwha Energy Corp. said it will boost the capacity of its power plant at Inchon, west of Seoul, to 1,800 Mw from 1,640 Mw. The decision was announced just after Houston-based El Paso Energy Corp. completed its purchase of 50% of Hanwha with the payment of $100 million.


TOKYO�South Korean company Hanwha Energy Corp. said it will boost the capacity of its power plant at Inchon, west of Seoul, to 1,800 Mw from 1,640 Mw. The decision was announced just after Houston-based El Paso Energy Corp. completed its purchase of 50% of the company with the payment of $100 million.

El Paso Energy International Pres. John Hushon recently said the transaction would mark the largest foreign investment in the Korean power industry to date. The sale will also help reduce Hanwha Energy's debt-to-equity ratio to 170% from 240%.

Hanwha says that, in future, it will operate the Inchon plant in conjunction with El Paso.

Hanwha has already been forced to sell its refining operations to Hyundai Oil Refining Co. as part of its efforts to reduce its massive debt burden.

More in Refining