Thailand’s B.Grimm Power has signed a deal with a unit of state-owned oil and gas firm PTT to use that latter’s Map Ta Phut LNG import terminal in Rayong province.
B.Grimm LNG, a unit of B.Grimm Power, and PTT LNG signed the terminal use agreement on Tuesday, according to a statement by PTT LNG.
Under the deal, PTT’s 11.5 mtpa Map Ta Phut facility would process 500,000 tonnes of LNG per year for B.Grimm LNG for a period of seven years starting in 2023, the statement said.
With this deal, B.Grimm Power, a unit of B.Grimm, would become the first private firm to import LNG into Thailand.
B.Grimm Power, a unit of B.Grimm, and PTT’s subsidiary PTT Global LNG joined forces last year to buy and supply LNG.
Also, B.Grimm last year won permission to import and trade up to 650,000 tonnes of LNG in Thailand per year from 2022. The firm plans to import LNG to fuel its small power plants.
The Energy Regulatory Commission granted the license as part of a move to liberalize the country’s gas business by opening up trade to the private sector.
Besides the Map Ta Phut facility, PTT is also building the Nong Fab LNG receiving terminal in Rayong.
This 7.5 mtpa terminal should start operations later this year.
