Minesto's Strategic Move to South Korea: A Gateway to Asia's Blue Energy Boom?

In the race to decarbonize global energy systems, blue energy-harnessing the power of oceans-has emerged as a frontier market. For Minesto, a pioneer in tidal energy technology, South Korea represents a strategic pivot point in this evolving landscape. With its 2025 high-level delegation to Seoul and a suite of technological advancements, the Swedish company is positioning itself at the intersection of Asia's blue energy ambitions and Europe's renewable innovation. But how viable is this move, and what does it mean for investors?

Strategic Financial Moves and Technological Milestones

Minesto's recent SEK 22 million loan from Fenja Capital underscores its operational agility. This financing, featuring a 4% setup fee and 1% monthly interest, is earmarked for advancing the Hestfjord project and the Dragon 12 tidal kite in the Faroe Islands, which recently achieved a 25% power performance boost via an extended tether, according to a Third News report. CEO Martin Edlund has emphasized that such milestones are critical for securing new partnerships and scaling commercial deployments. The loan's repayment deadline (December 30, 2025) adds urgency to these efforts, aligning with South Korea's own 2030 renewable energy targets.

South Korea's Blue Energy Ambitions

South Korea's 2025 Korea Blue Action Plan, unveiled at the Our Ocean Conference, allocates $2.65 billion across 76 initiatives to advance its blue economy. Key priorities include tidal and wave energy development, emission-free maritime corridors, and international collaboration, as outlined in South Korea's Blue Plan. The Ministry of Oceans and Fisheries' 2030 Ocean Energy Development Plan further reinforces this, aiming for 700 MW of tidal stream energy (TSE) capacity through public R&D funding and open-sea test sites, according to the Ocean Energy Systems country profile. These policies create a fertile ground for companies like Minesto, whose Dragon-class tidal kites are designed for predictable, low-impact energy generation in high-current zones.

Technological Synergy and Market Readiness

Minesto's subsea kite technology, which uses tethered kites to harness kinetic energy from ocean currents, aligns closely with South Korea's geographic advantages. The country's coastal regions, such as the East China Sea and Yellow Sea, experience consistent tidal flows ideal for such systems, noted during Minesto's World Expo participation. Moreover, the Ocean Energy Systems profile highlights that South Korea's Renewable Energy Portfolio Standard (RPS) assigns tidal energy a weighting value of 2.0 in its Renewable Energy Certificate (REC) system, incentivizing developers to integrate ocean-based solutions.

While no direct Minesto–South Korea partnership has materialized in 2025, the company's participation in the October 2025 Swedish delegation-led by Crown Princess Victoria-signals intent. During the "Sweden–South Korea Sustainable Partnership Summit," CEO Dr. Martin Edlund highlighted how Minesto's technology could complement South Korea's goal of achieving 21.6% renewable energy by 2030, as noted in a Minesto press release. This aligns with broader trends: South Korea's Special Act on Offshore Wind, which streamlines permitting for offshore projects, and its 20 GW offshore wind target by 2030, suggest a regulatory environment primed for innovation, according to a Dentons Lee analysis.

Cross-Border Collaboration and Risks

Minesto's global strategy extends beyond South Korea. Its collaboration with Schneider Electric to commercialize ocean energy farms using Deep Green technology demonstrates its ability to forge strategic alliances, as described in a Schneider Electric announcement. However, entering South Korea's market requires navigating local partnerships and regulatory nuances. The country's emphasis on domestic industrial participation-evidenced by its revised offshore wind bid criteria-means foreign firms must align with local stakeholders to secure project rights, as noted by Dentons Lee.

For investors, the key question is whether Minesto can leverage its technological edge and international credibility to secure a foothold in South Korea's blue energy sector. The company's recent $10 million Series A and $11.9 million Seed funding rounds in Q3–Q4 2025 indicate strong capital market confidence, according to Tracxn funding data. Yet, execution risks remain, particularly in scaling the Dragon 12 to commercial viability and navigating South Korea's competitive renewable energy landscape.

Conclusion: A Calculated Bet on Blue Energy

Minesto's foray into South Korea is less a leap of faith and more a calculated alignment with global decarbonization trends. By combining its proprietary tidal technology with South Korea's policy-driven blue economy push, the company is hedging its bets on a market poised for growth. For investors, the risks are clear-technological scalability, regulatory hurdles, and competition from offshore wind-but so are the rewards. If Minesto can secure even a fraction of South Korea's 700 MW TSE target, it could redefine its role in the global renewable energy transition.