Large Gas Hydrate Deposits Discovered near Disputed Dokdo Islets

A massive quantity of semisolid gas is believed to exist beneath the waters surrounding the Dokdo islets in the East Sea, estimated to be equivalent to 30 years of South Korea's annual liquefied natural gas (LNG) imports. The discovery was made by the Korea Gas Corp. (KOGAS) in initial surveys conducted between 2000 and 2004. Gas hydrates, which are naturally occurring solid deposits of gas at high pressure and low temperatures, are found in the Ulleung Basin around Dokdo and its companion island, Ulleungdo. These deposits are significant, as they could provide a substantial source of energy for South Korea, which currently imports approximately 20 million tons of LNG annually.

Key Takeaways:

• The Korea Gas Corp. (KOGAS) estimates that the Ulleung Basin around Dokdo and Ulleungdo contains large deposits of gas hydrates, which could translate into 600 million tons of liquid natural gas (LNG).
• The initial surveys conducted between 2000 and 2004 suggest that most of the gas hydrate deposits are clustered in a deepsea area a few kilometers east of Dokdo and another potential site southwest of the islets.
• The estimated gas hydrate deposits are equivalent to 30 years of South Korea's annual LNG imports, which average around 20 million tons per year.
• KOGAS and other government agencies have allocated 66.7 billion won (US$6.5 million) for additional exploration and development of the region.
• The Ministry of Commerce, Industry and Energy has partnered with KOGAS, the Korea Institute of Geoscience and Mineral Resources, and the Korea National Oil Corp. to work on the development of gas hydrates in the Ulleung Basin.
• Japan claims economic control over waters where overlaps with potential gas hydrate deposits southwest of the Dokdo islets occur, which may be a factor in their challenge to South Korea's sovereignty over the islets.
• Initial production of gas hydrates may begin in 2014, with exploratory operations expected to commence in 2007.

Statistics:

• 600 million tons: estimated amount of liquid natural gas (LNG) that could be extracted from the Ulleung Basin.
• 20 million tons: South Korea's average annual LNG imports.
• 30 years: equivalent timeframe to South Korea's annual LNG imports, covering the estimated gas hydrate deposits in the Ulleung Basin.
• 2000-2004: initial surveys conducted to explore gas hydrates in the Ulleung Basin.
• 66.7 billion won (US$6.5 million): allocated budget for additional exploration and development of the region.
• 2007: expected year for exploratory operations to begin.
• 2014: predicted year for initial production of gas hydrates.

Sources:

• Korea Gas Corp. (KOGAS)
• Yonhap (March 17, 2006)
• Korea Institute of Geoscience and Mineral Resources
• Korea National Oil Corp.
• Ministry of Commerce, Industry and Energy