Shell to supply commissioning cargo to First Gen’s Batangas LNG terminal

Power producer First Gen has awarded a contract to a unit of LNG giant Shell to supply the first liquefied natural gas cargo to its FSRU-based terminal in Batangas, Philippines.

The award of the commissioning cargo follows an international tender issued by First Gen.

According to a statement by First Gen issued on Monday, Shell Eastern LNG will supply one LNG cargo of about 154,500 cbm within the required delivery window of August 1 to September 30, on a DES basis to FGEN’s unit, First Gen Singapore.

First Gen said the shipment will be loaded into the 162,000-cbm FSRU BW Batangas after facilitating its gassing-up and cooling down utilizing the delivered LNG cargo.

The FSRU will then return to the FGEN LNG terminal in Batangas, to complete commissioning activities, it said.

Subsequently, FGEN’s existing gas-fired power plants in its energy complex in Batangas City will receive these supplies.

FSRU arrives at FGEN’s terminal

In 2021, First Gen awarded the five-year FSRU contract to BW LNG, as it looks to replace declining volumes from the Malampaya gas field.

Last month, BW Batangas arrived in the Philippines to start serving First Gen’s LNG import terminal developed by its unit FGEN lng.

Prior to arriving in Batangas, the FSRU underwent modifications at the MMHE Shipyard in Johor, Malaysia.

First Gen said in the statement that the FSRU arrived at the LNG terminal’s jetty in Batangas on July 8.

The vessel will remain in Batangas until it is required to depart for Subic Bay to collect the first LNG cargo from Shell, it said.

First Gen also noted that its unit FGEN LNG previously announced the signing of a memorandum of understanding with Prime Infrastructure Capital, for the proposed lease and operation of the FGEN LNG terminal.

No definitive agreements have been signed, but FGEN LNG and Prime Infra continue to develop a gas aggregator framework of which the LNG terminal is a primary element, it said.

The deal is intended to make it possible to blend currently declining volumes of indigenous Malampaya gas with imported LNG.

This is to ensure a “least-cost solution for consumers, enhance energy security, and provide a competitive power generation market, while exploration activities leading to the commercial development of new indigenous natural gas fields are undertaken,” First Gen said.

This will be the second LNG import facility in the Philippines as Singapore’s LNG firm AG&P kicked off commissioning activities in April at the country’s first import terminal following the arrival of the 137,500-cbm FSU Ish at the terminal’s jetty in Batangas Bay.

Most Popular

Woodside terminates Commonwealth LNG SPA

Australian LNG player Woodside has terminated its two LNG sale and purchase agreements with US LNG terminal developer Commonwealth LNG.

Thailand in Alaska LNG talks

Thailand's PTT and Egco will engage in further discussions to potentially participate in the development and buy volumes from the planned Alaska LNG project, according to Thailand's Ministry of Energy.

Energy Transfer seals Lake Charles LNG supply deals

Texas-based Energy Transfer has signed new supply deals for its planned Lake Charles LNG export facility in Louisiana as it works to take a final investment decision by the end of this year, according to its management.

More News Like This

Peru LNG terminal shipped three cargoes in April

Peru LNG’s liquefaction plant at Pampa Melchorita has shipped three liquefied natural gas cargoes in April due to restrictions on the transportation system, according to operator Hunt Oil.

CFO: Shell on track to ship first LNG Canada cargo in middle of 2025

LNG giant Shell remains on track to deliver the first liquefied natural gas cargo from its LNG Canada export terminal in Kitimat in the middle of this year, according to Shell's finance chief, Sinead Gorman.

Shell’s Q1 profit reaches $5.58 billion, LNG sales drop

LNG giant Shell reported a drop in adjusted earnings in the first quarter of 2025, while its LNG sales also decreased compared to the same quarter in 2024.

Venture Global launches Calcasieu Pass LNG commercial ops

US LNG exporter Venture Global LNG has launched commercial operations at its Calcasieu Pass LNG terminal in Louisiana, some 68 months from its final investment decision and 38 months after production start.