The government has approved the use of Posco’s cryogenic high manganese steel for manufacturing liquefied natural gas storage tanks, the company said Tuesday.

The decision made after a review by an independent panel on gas technology standardization will be notified by the government, it added.

Cryogenic HMS developed by the South Korean steel giant, can withstand temperatures as low as minus 196 degree Celsius, and could replace nickel alloy steel which has been commonly used for LNG storage tanks.

“This demonstrates how government-private sector collaboration can strengthen the competitiveness of indigenous materials,” Posco said in a statement.

“The Industry Ministry’s (previous) approval has provided a foundation for Posco to manufacture a prototype using cryogenic HMS,” it added.

Posco plans to step up efforts to participate in LNG-related projects in line with toughening measures on green ships. By 2030, the market is expected to see fresh orders for about 890 LNG tanks and 4,700 vessels of LNG tank carriers.

Last year, the International Maritime Organization’s Maritime Safety Committee approved interim guidelines on applying HMS in cryogenic LNG storage and fuel tanks

Posco is the first steelmaker in the world that has succeeded in commercializing cryogenic HMS.

By Cho Chung-un (christory@heraldcorp.com)