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South Korea's KB Kookmin Bank has signed a commitment worth over 209 billion won to finance a 667-kilometer natural gas pipeline project in Canada by TransCanada Energy (TC Energy).
The pipeline will bring natural gas from Dawson Creek to an LNG Canada facility in northern British Columbia.
The deal is part of the 5.76 trillion won project financing by a group of lenders, composed of KB Kookmin Bank as the sole Korean participant and 26 other banks.
LNG Canada has signed contracts with major energy firms such as Shell, Mitsubishi, Petronas, Korea Gas, and PetroChina.
The facility will be operational beginning 2022.
In undertaking the project, KB Kookmin Bank noted that deals for overseas projects have been on a sharp decline because of the pandemic, while adding that it will throw financial support to Korea Gas in its effort to secure national energy resources.
