The Philippine Department of Energy (DOE) provided to Excelerate Energy the Notice to Proceed (NTP) for the development of a floating liquefied natural gas import terminal in the Bay of Batangas, in line with DOE’s guidelines for ‘Rules and Regulation Governing the Philippine Natural Gas Industry.’
The company will firstly seek the necessary permits and raise financing for the project, and then develop, design, permit, construct, finance, and operate the terminal.
Specifically, the Luzon LNG terminal will supply natural gas, sourced from LNG, to existing and new gas-fired power plants in the region that provide electricity to Luzon and to the area of Metro Manila.
The proposed project will be set offshore the city of Batangas to eliminate the impact to the existing shipping traffic in the area and coastline. Also, it will use Excelarate’s offshore technology, which is designed to perform in the extreme weather conditions.
The gas supply will increase the existing gas production from the domestic Malampaya fields, as reserves from these fields begin to deplete. Additionally, Luzon LNG will be in line with the region’s natural gas requirements, including a fully-integrated turnkey floating LNG terminal, arranging the necessary supply of LNG and distribution of natural gas to end-users across Luzon.
Excelerate Energy Chief Commercial Officer Daniel Bustos stated
We commend the Government of the Philippines for requiring the structure of the project to include the challenging integration of LNG supply, technical procurement and implementation, and user agreements to the benefit of the country. Excelerate is the only company with the experience to deliver all that is required for this complex project – this will not be our first time.
See also
- Excelerate reaches milestone in LNG ship-to-ship transfer
- Excelerate, Equinor complete first STS LNG transfer
