Shell to supply first LNG cargo to PetroVietnam Gas

PetroVietnam Gas, a unit of state-owned PetroVietnam, said that its Thi Vai LNG import terminal will receive the first cargo from LNG giant Shell.

Shell will deliver the commissioning cargo between June 17 and July 31, 2023, according to a statement by PetroVietnam Gas.

PetroVietnam Gas issued a tender in April for the commissioning cargo and received in total nine offers from “reputable LNG suppliers in the world”, it said.

A Shell spokesperson confirmed to LNG Prime on Wednesday that “Shell Eastern Trading has agreed to supply the commissioning cargo to Thi Vai, Vietnam’s first LNG import terminal.”

PetroVietnam Gas said the signing of the deal to import the first LNG shipment is a milestone, marking a new development step of the company in particular and Vietnam’s gas industry in general.

It recently said that its Thi Vai LNG import terminal is ready to start receiving cargoes.

The company has also become the first firm in the country to receive approval for LNG imports and exports.

The Thi Vai LNG import facility consists of one 180,000-cbm LNG tank, a jetty, and regas area.

PetroVietnam Gas said these facilities are ready for commissioning activities, while the company will also soon complete the construction of the truck loading facility.

Shell to supply first LNG cargo to PetroVietnam Gas
Image: PetroVietnam Gas

The terminal will have a capacity of 1 mtpa in its first phase, but the company plans to boost the capacity to 3 to 6 mtpa in the next stage.

Also, it will be an important link in supplying gas to consumers, including the Nhon Trach 3 and 4 power plants.

Together with the Son My LNG import terminal with a total expected capacity of up to 10 million tons of LNG per year, in which PetroVietnam Gas is the co-owner with the majority capital contribution ratio, these facilities will basically meet the energy demand for the southern region in the country the future, PetroVietnam Gas said.

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