KNOC Looks for Shale Assets Overseas

Korea National Oil Corp (KNOC) is looking to acquire U.S. shale gas companies or assets as it seeks to secure liquefied natural gas (LNG) supplies to feed rising demand in the domestic market.

Reuters reports that KNOC expects to spend an amount approximately $3.4 billion on overseas oil and gas assets.

"Given the economics and the possibility of bringing LNG in to domestic markets, we are carefully considering acquiring assets or companies to enter the U.S. shale gas sectors," Reuters said quoting Vice President Chang Sung-jin.

"We are also studying the feasibility of entering the Chinese shale gas business," he added.

South Korea, the second largest LNG importer in the world after Japan has been boosting overseas resources development to cater to growing local demand.