FGEN LNG Corp, a wholly-owned subsidiary of First Gen Corp has received a permit from the Philippines Department of Energy to construct, expand, rehabilitate and modify (PCERM) an interim offshore LNG terminal.
It will be located in the the company’s Clean Energy complex in Batangas City.
This permit was issued in response to the application submitted by FGEN LNG to the DOE on 4th March, 2020.
The project consists of construction work necessary to: (i) modify the existing jetty that will enable it to become a multi-purpose jetty; and ii) build an adjunct onshore gas receiving facility.
This represents the initial phase of the FGEN Batangas LNG terminal that was previously declared by the Philippines Energy Investment Co-ordinating Council through the DOE as an ‘Energy Project of National Significance’.
"We are thankful to Secretary Cusi, and to the Downstream Natural Gas Review and Evaluation Committee of the DOE, for the support and guidance that they have provided during the evaluation process, especially given the difficult circumstances created by the COVID-19 pandemic, and for issuing the PCERM," said Jonathan Russell, FGEN’s Executive Vice President and CCO.
Once FGEN LNG's preparations for the construction start up are complete, including the design and implementation of enhanced work and safety protocols and procedures required to minimise the impact of COVID-19 on construction personnel and the local community, this phase of the project may begin by the end of the third quarter or early in the fourth quarter of this year.
In parallel, FGEN LNG is preparing to issue a binding invitation to tender for an FSRU upon the completion of its ongoing non-binding process. Three FSRU providers, BW Gas, GasLog LNG Services, and Hoegh LNG Asia, have expressed interest in providing the FSRU.
The project will allow FGEN LNG to accelerate its ability to introduce LNG to the Philippines as early as 3Q22, to serve the natural gas requirements of existing and future gas-fired power plants of third parties and FGEN LNG affiliates, the company said.