POSCO INTERNATIONAL Tries to Reap Benefits from Energy, Grain and Material Business Sectors

POSCO INTERNATIONAL CEO Lee Kye-In. (Photos: POSCO INTERNATIONAL)

POSCO INTERNATIONAL is on the verge of joining the so-called 1 trillion won club in operating profit for the third straight year.

The company is predicted to see its three growth pillars – energy, grain and material businesses – meet or exceed expectations.

POSCO INTERNATIONAL is expected to shift fast into an asset integrated general company, like Japanese general trading companies, departing from the conventional general trading company format based on sampling trading.

A noticeable growth pillar is the LNG business. It is participating in the Alaskan LNG project, one of U.S. President Donal Trump’s priority projects.

The company has expanded the whole value chain of the LNG business, ranging from expanding the Senex gas field in Australia to establishing an LNG trading corporate entity in Singapore and expanding an LNG terminal in Gwangyang.

The company is evaluated to have established a “full value chain” structure, stretching from exploration and development to transportation, storage, trading and power generation in only one to two years.

POSCO INTERNATIONAL became Korea’s first company to have struck an HOA on strategic partnership to develop Alaskan LNG projects with Glenfarne, an Alaska LNG project developer.

POSCO INTERNATIONAL is Korea’s only company to have struck an HOA in the relevant business project.

Under the deal, POSCO INTERNATIONAL will introduce 1 million tons of LNG annually for 20 years, equivalent to 2.2 percent of Korea’s annual total imports.

The LNG imports will be supplied to Korea via Incheon Combined Cycle Power Plant, owned by the company and Gwangyang LNG terminal.

Last year, POSCO INTERNATIONAL expanded the Senex Energy gas field in Australia three-fold. With the completion of the project, the gas field saw its annual production capacity jump from 20 PJ to 60 PJ.

The company also dedicated the first Gwangyang LNG terminal, which has a stockpile capacity of 930,000 kiloliters.

When the second terminal, now under construction, is completed, it will have an annual combined stockpile capacity of 1,330,00 kiloliters.

The terminal is predicted to see the portion of operating profit in the energy sector rise more than 60 percent.

Choi Yong-hyun, a researcher with KB Securities, said, “Given the fact that the debt ratio of POSCO INTERNATIONAL is lower than that of Japanese general trading companies, the Korean company has room to utilize financial leverage, such as M&As in the mid- and long-term perspective, and is expected to narrow the gap with Japanese general trading companies by building LNG and permanent magnet value chains in the United States.

A whole view of Sampoerna Agro in Indonesia, acquired by POSCO INTERNATIONAL.

On Nov.19, 2025, the company secured management control of Sampoerna Agro in Indonesia, adding 128,000 hectares of palm plantations and achieving stable entry into the global palm market through a total investment of approximately 1.3 trillion won.

On the same day, the company completed construction of a palm oil refinery on East Kalimantan Island with an annual capacity of 500,000 tons, in partnership with GS Caltex.

POSCO INTERNATIONAL has established a foothold to transition itself as an integrated business company by acquiring management control of Sampoerna Agro in Indonesia.

POSCO INTERNATIONAL completed its European hub to target the global electric vehicle market. With the completion of the Poland plant, POSCO INTERNATIONAL has established a production belt across Asia, North The Poland plant, with an annual production capacity of 1.2 million units, is expected to become a key production hub to meet the rapidly growing EV demand in Europe, driven by the EU’s 2035 zero-carbon emission policy for new vehicles.

A POSCO INTERNATIONAL official said, “The completion of POSCO INTERNATIONAL’s three value chains complies with the company’s strategies to restructure its business portfolio, and the company, a core listed company of realizing POSCO Group’s new growth engines, will make the year 2026, a first year of igniting its three growth engines – grain, energy and material businesses.” America and Europe, aiming to achieve a 10 percent global market share by 2030.