Construction work has started on PetroVietnam Gas' LNG Thi Vai terminal project, which will have a throughput capacity of one million tonnes per annum in the first phase.
The terminal project will be built in two phases, with the first expected to be complete in 2022. The second phase, with a capacity of three million tonnes of LNG per year is expected to be complete in 20203. The terminal will be able to receive LNG vessels of up to 85,000 tonnes.
The first phase, which has committed investment of more than $285 million, comprises LNG tanks of 180,000 m3 as well as associated equipment. Once operational it will supplement the supply of 1.4 billion m3 of gas to customers including Nhon Trach 3 and 4 power plants and industrial customers. It will help to partially offset the shortage of gas in the country after 2022.
It will also contribute to ensuring gas and electricity demand for the key economic region in the Southeast.
In a statement, the company says that the facility will be an important link in providing renewable gas for consumers, including the power plants. Together with LNG Son My import terminal, with a total expected capacity of up to 10 million tonnes per year, the energy demand for the Southeast region will be met.
The terminal is being designed and constructed by contractors from Japan, Korea and the UK.
Speaking at a groundbreaking ceremony, Tran Sy Thang, PetroVietnam's chairman of the board of directors, said that it is the first LNG project in Vietnam with special significance in the oil and gas industry. As one of the leading players in the gas field, PV Gas will be responsible for maintaining the leading role in the gas industry and the LNG sector.