South Korea is set to take part in the European Union's project to develop a satellite navigation system.

The system being developed under the Galileo project is expected to compete with the existing Global Positioning System (GPS) of the United States by offering more precise information with a larger coverage.

South Korea decided to participate in the EU's project during the fourth international conference of science-related ministers held in Seoul Thursday.

South Korea plans to contribute at least 6.7 billion won for its participation in the 3.4 billion euro project.

Seoul is planning to send a letter of intent on its participation in the project around next month or April and to sign an official agreement with the EU in July or August.

Sponsored by the European Commission and the European Space Agency, the Galileo project aims to develop a satellite positioning and navigation system to be used solely for civilian purposes. It is expected to be operational by 2008.