$2.3 billion LNG project breaks ground in Southeast Asia

May 19, 2026, by Melisa Cavcic

SK Innovation, an affiliate of South Korean conglomerate SK Group, Vietnam’s state-run power company PV Power (PetroVietnam Power), and local partner NASU, an affiliate of TH Group, have held a groundbreaking ceremony for a liquefied natural gas (LNG) project, which is anticipated to support Vietnam’s industrial advancement through artificial intelligence (AI) infrastructure and community engagement initiatives.

Bird’s-eye view of the Quynh Lap project site in Nghe An Province, Vietnam, where the LNG power plant, LNG terminal, and LNG storage tanks will be constructed; Source: SK Innovation

SK Innovation, PetroVietnam Power, and NASU held the Quynh Lap LNG project launch and infrastructure groundbreaking ceremony on May 18, 2026, in Nghe An Province, Vietnam. The event, which took place in the Tan Mai area of Quynh Lap District, was attended by approximately 300 guests, including Choo Hyeong-Wook, President and CEO of SK Innovation, senior officials from Vietnam’s central and local governments, and key representatives from the consortium partners.

Among attendees were Le Tien Chau, Deputy Prime Minister of Vietnam; Doan Minh Huan, Director of the Ho Chi Minh National Academy of Politics; Nguyen Khac Than, Secretary of the Party Committee of Nghe An Province; and Vo Trong Hai, Chairman of the People’s Committee of Nghe An Province. The list of representatives from the consortium included Hoang Van Quang, Chairman of PV Power; Le Nhu Linh, President & CEO of PV Power; Thai Huong, Chairwoman of TH Group; and Ngo Van Tu, President of NASU.

Participants in the Quynh Lap LNG project infrastructure groundbreaking ceremony pose for a commemorative photo on May 18 in the Tan Mai area of Nghe An Province, Vietnam; Source: SK Innovation

Choo Hyeong-wook, President & CEO of SK Innovation, commented: “This groundbreaking marks a historic first step toward the successful completion of the Quynh Lap project, while also laying the foundation for strengthening Vietnam’s power infrastructure and fostering an advanced industrial ecosystem. We will continue working closely with our partners, including PV Power and NASU, to ensure the project achieves its goal of commencing commercial operations in 2030 and serves as a key pillar of Vietnam’s energy security.”

The Quynh Lap LNG project is described as a large-scale energy infrastructure project that will develop a 1.5 GW LNG combined-cycle power plant and LNG terminal in Nghe An Province, approximately 220 kilometers south of Hanoi. With a total investment of approximately $2.3 billion, the project is targeted to begin commercial operations by December 2030.

Quynh Lap project site in Vietnam; Courtesy of SK Innovation

According to SK Innovation, the project represents a key milestone in realizing SK Group’s specialized energy-industry cluster (SEIC) model proposed to the Vietnamese government to create an advanced industrial ecosystem by supplying stable power to nearby high-tech industrial complexes while supporting the development of AI data centers and related infrastructure through a Korea-style AI full-stack value chain.

Upon completion, the LNG project is expected to enhance power supply stability through the national grid while serving as a catalyst for industrial development in the region. Ahead of the ceremony, the consortium also carried out community outreach activities, delivering donations and supplies to residents as part of its commitment to shared growth with the region.

Building on the Quynh Lap project, SK Innovation aims to strengthen its position as a future energy solutions provider in Vietnam and expand its global power business portfolio by integrating LNG, energy storage systems (ESS), renewable energy, and small modular reactor (SMR) technologies in collaboration with local partners and government stakeholders.