S.Korea to double foreign energy spending in 2007

SEOUL, Dec 29 (Reuters) South Korea said on Friday it will invest 355 billion won (1.9 million) in 2007 to secure foreign energy reserves, more than doubling the amount from this year as part of its push to cut dependency on overseas production.

The amount is up 115 percent from this year's 165 billion won investment, a statement by South Korea's ministry of commerce, industry and energy (MOCIE) said.

South Korea is pushing to produce 18 percent of the country's oil needs from Korean-owned oilfields by 2013, against 4 percent now.

The world's fourth-biggest crude oil buyer secured 5.2 billion barrels of probable oil reserves in 2006 alone, taking the accumulated amount up to 14 billion barrels since South Korea started securing overseas reserves in 1981.

Part of the 2007 investment will come from a 0 million investment fund which was released in November this year, attracting companies and individuals to help buy oil and gas fields abroad.

MOCIE also said South Korea had completed a production facility in a Vietnamese gas field last month which would allow gas production of 2,900 tonnes per day and crude production of 4,200 barrels per day until 2030.

Reuters SBA VP0645