First Gen seeks LNG cargo for October delivery

The firm controlled by the Lopez family said it seeks to procure a single cargo of LNG via its unit First Gen Singapore on a delivered ex-ship (DES) basis, to be utilized by FGEN’s existing gas-fired power plants in its complex in Batangas.

The supplies will be delivered at Subic Bay Freeport in Zambales, Philippines and loaded into the the 162,000-cbm FSRU BW Batangas, it said.

Also, the selected bidder will deliver the LNG cargo of about 154,500 cbm from October 14 to October 18, 2024.

First Gen expects to award the tender on September 16.

Seventh tender

This is the seventh tender the company issued since last year.

Prior to this tender, First Gen launched tenders for delivery in May and July, while the fourth tender was not awarded as First Gen did not get firm commitment from Manila Electric regarding the costs of the LNG supply.

Shell supplied the first LNG cargo for commissioning purposes to First Gen’s FSRU-based LNG terminal in August last year, while Trafigura and TotalEnergies supplied the second and the third cargo.

A unit of China’s state-owned energy giant CNOOC supplied the fourth LNG cargo, while First Gen awarded the fifth LNG cargo to Japan’s Tokyo Gas for delivery in July.

Japan’s city gas supplier and LNG importer Tokyo Gas and First Gen are partners and the Japanese company in May entered into a deal to buy a 20 percent stake in First Gen LNG, a unit of First Gen and the operator of the FSRU-based terminal in Batangas.

According to local media reports, First Gen has not yet received this cargo from Tokyo Gas.

The reports say the FSRU is undergoing repair work at a yard in Subic Bay and the work is expected to be completed this month.

First Gen has a portfolio of four gas-fired power plants with a combined capacity of 2,017 MW that have been supplied for many years with gas from the Malampaya offshore gas field.

It is now buying LNG to replace declining volumes from the Malampaya gas field.

Besides spot LNG supplies, First Gen previously said it is also in talks to secure LNG deliveries in the medium to long-term.