Posco International, a major South Korean energy and trading company, has announced plans to construct a combined heat and power (CHP) plant in Odesa, Ukraine. The facility will run on refuse-derived fuel (RDF), with an installed capacity of 12 MW of electricity and 40 MW of thermal energy. The total investment for the project is estimated at $106 million.
According to Ukraine’s Deputy Minister for Communities and Territories Development, Kostiantyn Kovalchuk, the RDF-based CHP project represents a modern and comprehensive solution to both energy and environmental challenges. He noted that Ukrainian and Korean counterparts have already initiated the drafting of a Project Concept Paper (PCP), which is to be formally submitted by the Ukrainian government in accordance with procedural requirements.
The Odesa city authorities have allocated a 4-hectare land plot for the facility. A municipal enterprise has been designated as the responsible party for project implementation. All required infrastructure, including gas supply and a heat distribution scheme, has already been approved in cooperation with the Ministry for Communities and Territories Development.
The project's estimated payback period is 6.5 years.
Posco International is one of South Korea’s largest trading corporations and a subsidiary of global steel giant POSCO. In 2023, Posco International merged with its energy subsidiary, Posco Energy, strengthening its presence across the energy, agriculture, steel, and environmental sectors.
