Lee Proposes ‘Energy Silk Road’ Plan to Russia
By Na Jeong-ju
Staff Reporter
President Lee Myung-bak proposed Monday that Seoul and Moscow open a ``New Silk Road'' era by linking railways between the two countries through North Korea and strengthening cooperation in energy development and in the agricultural sector.
``I hope Korea and Russia will speed up efforts to link the trans-Korean railway, or TKR, with Russia's trans-Siberian railway, known as the TSR, for its eventual connection to Europe,'' Lee said at a forum between South Korean and Russian business leaders in Moscow. ``I also want to play a role in promoting closer cooperation between the two countries in developing Russia's abundant oil and gas resources, as well as the farm lands and forestry resources in the Russian Far East.''
Lee used the term ``New Silk Road'' to speak of the railroad, energy and agricultural cooperation with Russia in proposed projects, referring to a trade route across the ancient Asian continent.
``At present, it takes about 40 days to transport freight from Busan to Europe by sea. But the transport period can be halved if the TKR and TSR are connected,'' the President said at the business forum, held before his summit with Russian President Dmitry Medvedev.
The railway link between the two Koreas and Europe via Russia would help boost global peace and ease tensions in Northeast Asia, as well as on the Korean Peninsula. Subsequent infrastructure construction projects surrounding the Korean Peninsula-Europe railways will also be mutually beneficial,'' Lee said.
Lee emphasized the importance of the ``energy silk road'' and South Korea's participation in the Russian Far East's forestation and agricultural plantation businesses.
``Joint development of Russia's oil and gas resources will create enormous synergies for both sides. Russia will secure a stable buyer of its natural gas, while South Korea will be able to secure its own stable energy import source,'' said Lee.
The South Korea-Russia Business Forum was attended by 100 South Korean entrepreneurs and 150 Russian business executives. Private companies and ministries from the two countries agreed to strengthen talks in line with their governments' plan to upgrade bilateral relations to a strategic partnership.
On the sidelines of the summit, the ministries and firms signed a total of 26 agreements to accelerate their cooperation in energy, resources and industrial technologies.
Lee was accompanied by 33 business leaders, including Federation of Korean Industries Chairman Cho Suck-rai, Hyundai Motor Chairman Chung Mong-koo, SK Group Chairman Chey Tai-won, LG Group Chairman Koo Bon-moo and Lotte Group Chairman Shin Dong-bin.
Representing the financial sector were Woori Financial Group Chairman Lee Pal-sung, Shinhan Financial Group Chairman Ra Eung-chan and Export-Import Bank of Korea President Jin Dong-soo.