As industries accelerate efforts to reduce greenhouse-gas emissions, soil is gaining attention
as more than a natural resource. When managed scientifically, it can act as a long-term
carbon reservoir and support practical climate action. Building on this opportunity, Pohang
Iron and Steel Company (POSCO) International and the International ESG Association
(IESGA) have signed a memorandum of understanding on June 23, 2026, at the POSCO
Center in Seoul to develop research into “Soil as an Asset” and evaluate the carbon-
reduction potential of biochar in large-scale palm plantations.
The ceremony was attended by President and CEO Kye-In Lee of POSCO International, and
other senior executives, along with Professor Yong Sik Ok, President of the IESGA, and
Director of Korea Biochar Research Center, Korea University, together with Professor Jay
Hyuk Rhee, President of the IESGA, and President of Korea University ESG Institute.
The joint research will focus on palm plantations operated by an Indonesian palm company,
PT.PAR (Prime Agri Resources). The project aims to build a “Carbon Mapping” system that
quantifies carbon storage capacity and greenhouse-gas emission characteristics according to
soil properties. Researchers will evaluate the use of a carbon-rich material, biochar.
Biochar has recently been recognized for its ability to store carbon in soil over the long term.
The two partnered organizations will conduct soil analyses to build carbon maps, identify
optimal areas for biochar application, and advance the demonstration project. They will
assess carbon-reduction effects, expand the scope of application, and examine possibilities
for connecting the work to carbon-credit business.
This project marks a large-scale field demonstration of biochar-based carbon reduction
technology in a Korean palm plantation. While the Group is developing low-carbon steel making technologies, POSCO International is supporting carbon-reduction goals
through renewable-energy expansion and biomass-utilization projects.
The project will be led by IESGA under the joint leadership of Prof. Ok and Prof. Rhee, whose
complementary expertise bridges environmental science, biochar-based carbon
sequestration, ESG, and sustainable business. Prof. Ok mentions, “The essence of future ESG
management lies in creating nature-based value. Soil is one of the largest carbon reservoirs,
and depending on management, it can become either a source of emissions or a carbon sink.
This project is a significant demonstration study that scientifically measures and manages
soil carbon and, by harnessing biochar, transforms soil into an asset.”
Prof. Rhee also highlights, “This collaboration serves as a benchmark case where research on soil carbon and biochar is validated on a commercial scale and successfully translated into actionable industrial solutions. We are fully committed to ensuring that this initiative takes root as a resilient global business mechanism for driving tangible climate action.” Mr. Oh Ji-Heon, Board Director and Attorney at ONE Law Partners, concludes, “This collaboration shows the transformation of ESG into a practical solution, integrating legal and business frameworks to deliver measurable climate value.”
