S.Korea to set up $810 mln energy resource fund

SEOUL, May 11 (Reuters) - South Korea plans to launch a 1 trillion won ($809.7 million) fund to secure overseas energy resources, from mineral mines to oil and gas fields, Seoul's energy ministry said on Monday.

The fund, part of the country's efforts to boost its energy self-dependency, will be launched with an initial investment of 110 billion won from state-run firms Korea National Oil Corp (KNOC) and Korea Resources Corp (KORES), with the aim of attracting up to 890 billion won worth of private funds, the ministry said in a statement.

KNOC usually leads South Korean firms on the hunt overseas for crude oil and natural gas, while KORES is responsible for securing minerals such as coal.

"The total will be collected in a five year period, with the investment fund to be maintained for 10 years, although this can technically be extended to 20 years if there is agreement among investors," the ministry said.

The fund will be used to purchase stakes in overseas energy projects, secure profit rights in fields currently in production, and acquire foreign energy firms.

By September, the ministry will select two companies or consortiums to manage the funds. Bids should be submitted by June 12, it said.

Foreign companies can also apply, as long as they have a local branch. The successful bidders are required to invest a mandatory 3 billion won into the fund.

In February, South Korea also announced plans to set up a $72.2 million fund to increase renewable energy infrastructure, including solar, wind and hydroelectric power projects.

(Reporting by Angela Moon; Editing by Jonathan Hopfner)