South Korean SK Holdings to Invest in US Firm

South Korean SK Holdings May 18 said it will invest $250mn in Brazos Midstream, a US shale gas gathering and processing company. The investment will be made through its US subsidiary.

“Through this investment, SK is expected to generate synergies with the existing energy business and create a major income source for SK North America. The equity investment will be made through Plutus Capital, a US subsidiary of SK Corporation,” the company said.

Last year, SK Holdings bought stake in Eureka Midstream Holdings, another US midstream firm active in two shale resource plays in North America, the Marcellus Shale and Utica Shale located in Northwest West Virginia and Southeast Ohio.

SK Corporation is looking to further strengthen its global energy business, a new growth engine for the company. "We will maximise investment efficiency by continuing value-up through expansion of global energy business,” an official from SK Corporation said.