Alberta has entered a significant strategic partnership with South Korea’s Hanwha Group to expand energy development and industrial infrastructure. The agreement arrives as the South Korean government prepares to remove its 3 per cent import tariff on Canadian crude oil. This policy shift follows a deepening relationship between the two nations, which includes cooperation on the Canadian Patrol Submarine Project (CPSP).

The memorandum of understanding involves several divisions of the South Korean conglomerate, including Hanwha Energy, Hanwha Ocean, Hanwha Aerospace and Hanwha Power. The scope of the deal covers oil and gas, liquefied natural gas and hydrogen. It also explores carbon capture technology and advanced manufacturing. For Alberta, the move provides a vital path to diversify its energy markets beyond North America.

Near-term goals focus on increasing the trade of crude oil to Asian markets. Later stages of the collaboration will pivot toward lower emission energy sources like ammonia based carriers and hydrogen. The partnership also links to Canada’s Defence Industrial Strategy. Hanwha Ocean is currently bidding for the CPSP, and the agreement seeks to build sovereign industrial capability and maintenance support within Canada.

Alberta Premier Danielle Smith attended the signing alongside Energy Minister Brian Jean and Jobs Minister Joseph Schow. The provincial government aims to use the deal to attract capital and create high value jobs. By connecting resource development with infrastructure investment, the partnership hopes to secure long term economic resilience.

“This partnership reflects a long-term view of Canada — not only as an energy partner, but as a strategic industrial counterpart. By aligning capabilities across energy, natural resources, shipbuilding, high technology, advanced manufacturing, and other areas, we see an opportunity to contribute to Canada’s economic resilience and future industrial capacity,” said Jae-Kyu Lee, Chief Executive Officer of Hanwha Energy.

“Alberta is earning the attention of global partners because we deliver results. This agreement with Hanwha Group creates new opportunities to bring investment into our province, grow high-value industries, and support good-paying jobs for Albertans. We are focused on turning partnerships like this into real projects that strengthen our economy,” said Danielle Smith, Premier of Alberta.

“On the horizon is major investment with more focus being put on defense manufacturing and energy production. This agreement positions Alberta even stronger as a trusted partner for global investment. By strengthening relationships with international leaders like Hanwha Group, we are supporting economic diversification that leads to real benefit for our province and the people who call it home,” said Joseph Schow, Minister of Jobs, Economy, Trade and Immigration.

“Alberta has some of the largest energy reserves in the world. We have the goal of doubling our oil production by 2035 to meet a growing global demand and strengthen energy security for Canada, North America, and our trading partners,” said Brian Jean, Minister of Energy and Minerals.