South Korea Denies Finalized Texas Power Plant Deal

South Korea's Ministry of Trade, Industry and Energy has stated that reports of a finalized $22.3 billion deal to build a massive natural gas power complex in Encinal, Texas, are inaccurate. The ministry confirmed that consultations with Washington are ongoing and no final decisions have been made regarding the project, which is intended to supply electricity to artificial intelligence data centers. The proposed 6.3-gigawatt facility is part of a broader bilateral trade and investment package agreed upon in 2025. Under this agreement, Seoul pledged $350 billion in U.S. investments in exchange for favorable U.S. tariffs on South Korean goods. The Encinal project would represent South Korea's first major energy investment in the United States under this framework. Reports indicated the project's estimated cost has risen from approximately $19.8 billion to $22.3 billion, with some sources attributing the increase to U.S. requests for additional funding for water infrastructure and site setup.