South Korea will cooperate with Myanmar to develop mineral resources including rare-earth minerals as it seeks to secure supplies amid rising raw material prices.
The two countries agreed to conduct a geological study and develop projects, South Korea’s Ministry of Knowledge Economy said in a statement today.
South Korea, which imports almost all its energy and minerals needs, is increasing spending on resources projects to line up supplies.
Vice Minister Park Young June asked Myanmar, during his Dec. 23 visit, to let South Korean companies explore for oil and gas onshore, which is currently prohibited to foreign companies, the ministry said.
A group of companies led by South Korean trading house Daewoo International Corp., is developing gas resources in Myanmar’s A1 and A3 offshore blocks.