LNG

Thailand’s new Nong Fab LNG regasification terminal in Rayong province, the nation’s second import facility, has received first volumes of LNG for commissioning and is on track for full commercial start-up in 2022.

PTT Group, the national energy company of Thailand, is behind the Nong Fab project.

PTT is expanding regasification capacity and LNG imports after completing several expansions at the single existing Thai import terminal at Map Ta Phut, which can now handle 11.5 million tonnes per annum.

The Nong Fab terminal is adjacent to the Map Ta Phut industrial area in Rayong and will have total regasification capacity of 7.5 MTPA.

Thailand has opted for the more permanent onshore LNG terminals rather that a floating storage and regasification unit (FSRU), seen mainly as a fast-track energy solution.

The new terminal is currently being completed by Italian energy engineering firm, Saipem, and Taiwan-based CTCI Corp.

Saipem and CTCI were awarded the engineering, procurement and construction contract for the facility four years ago and with an estimated cost of around $900 million.

Experienced

It was Milan-based Saipem who announced the first volumes of LNG being introduced into the Nong Fab facility. The company is one of the world's most experienced LNG engineering firms with expertise in subsea, liquefaction and regasification projects.

“Saipem is pleased to inform that on 18 June the Nong Fab LNG regasification terminal, located in the Mueang Rayong district in Thailand and executed by Saipem in a joint venture with its partner CTCI, began offloading the first LNG from a carrier moored at the terminal jetty,” said the Saipem statement.

Saipem added that the scope of the work for the project, which began in July 2018, included two 250,000 cubic metres capacity LNG storage tanks, the regasification and pipeline eqipment and a six-kilometre trestle unloading facility as well as an administrative building.

“It is a particularly significant project which is marked by its tank capacity (the largest ever executed in Thailand) and by the world’s largest trestle in the LNG sector,” explained Saipem.

“The offloading of the first LNG was achieved thanks to the expertise, quality and efforts of Saipem’s team in Thailand as well as the strong support of the client, PTT LNG,” the company added.

Saipem stated that full commissioning and start-up were expected before year-end and would provide the country with a stable and reliable energy supply in response to increasing power demand in Thailand.

“The project, confirms Saipem’s role in the LNG and regasification sectors, thanks to its long-standing expertise in complex projects, which are always executed applying the highest safety standards,” Saipem declared.

Global Energy Storage (GES) of Singapore, a developer and operator of energy storage terminals, has announced a strategic partnership with a liquefied natural gas unit of Swedish shipping group Stena AB to identify and advance LNG logistics and storage solutions.

GES and Stena Power and LNG Solutions hope to combine their logistics expertise comprising floating storage and regasification units (FSRUs), onshore terminals and storage.

“Stena owns three LNG carriers which it can deploy as FSRUs or floating storage, potentially together with innovative jetty-less and/or offshore power solutions that do not require onshore facilities,” said a joint statement.

GES is planning to build a global network of first-class energy storage assets from its base in the Asian city state.

Part of its strategy is to invest around $250 million in brown and greenfield assets, initially in Europe and Asia, in the next five years.

“Our development efforts are focused on establishing expandable platforms located at key crossroads of energy flows,” said GES, started up in May 2021 by private equity firm Bluewater.

Leadership

GES is led by Peter Vucins and Eric Arnold, the team behind the growth of leading hydrocarbon storage company, Global Petro Storage (GPS).

The Singapore firm plans to concentrate on low-carbon commodities, energy transition fuels like LNG, as well as potentially renewable energy sources in the future.

GES said its strategic deal with Stena Power and LNG would enable developing economies and emerging markets to access LNG and clean power.

“This is an exciting and important partnership for GES. We regard LNG as an important transition fuel, especially in emerging markets where there is a strong demand for gas and power and a structural need to switch from coal to lower carbon solutions such as LNG,” said Peter Vucins, Chief Executive of GES.

“We are also interested in exploring opportunities with regard to blue hydrogen production where LNG is combined with carbon capture to make low carbon hydrogen,” added Vucins.

“The possibility to deploy existing LNG carriers with onshore terminal solutions means that we can move quickly to provide our customers with a full range of solutions,” stated the GES CEO.

Göran Hermansson, Chairman of Stena Power and LNG, said Stena’s offering was wide-ranging and provided operational and commercial advantages as well as increased safety.

“Our work is underpinned by our values of care, performance and innovation,” added Hermansson,

“By working with Global Energy Storage, we can share our wide-ranging, industry-specific knowledge to better achieve our mutual objective of delivering more sustainable energy infrastructure solutions to communities across the world,” declared the Stena unit’s Chairman.

Stena Power and LNG is already active in southeast Asian LNG through its involvement with an LNG import project in Vietnam.

Stena has been contracted to supply its jetty-less LNG transfer and regasification system for a terminal project in Bac Lieu province in Vietnam’s Mekong Delta being developed by Delta Offshore Energy and the regional authorities.