PetroVietnam Gas said on Wednesday it was in talks with the U.S. energy giant ExxonMobil and Russia’s Novatek on liquefied natural gas (LNG) cooperation, as it seeks to secure long-term supplies for Vietnam’s future LNG-fired power plants.
Regional manufacturing hub Vietnam aims to develop a fleet of 13 LNG-fired power plants with a combined capacity of 22.4 gigawatts by 2030, with the first scheduled to be operational from late next year.
PetroVietnam Gas discussed with ExxonMobil the possibility of LNG supplies for the commercial operation of its Thi Vai LNG Terminal in southern Vietnam, the Vietnamese firm said in a statement, following a meeting between its chief executive officer Pham Van Phong and ExxonMobil representatives.
The two companies also discussed opportunities to cooperate in upstream projects, it added.
PetroVietnam Gas also met with representatives of Russia’s Novatek, which it said is interested in supplying it with LNG for the 2023-2026 period, according to the statement.
“Boosting trade and investment ties with such global energy leaders as ExxonMobil and Novatek is the key for the development of PetroVietnam Gas and for the country’s gas industry,” the statement said.
ExxonMobil and Novatek did not immediately respond to requests for comments.
Thi Vai LNG Terminal in Ba Ria Vung Tau province will primarily supply two gas-fired power plants with a combined capacity of 1.5 gigawatts.
Those are currently being built in the neighbouring province of Dong Nai by PetroVietnam Power Corp at a cost of $1.4 billion.
The Nhon Trach 3 and Nhon Trach 4 power plants are set to start generation in the fourth quarter next year and the second quarter of 2025, respectively, according to PetroVietnam Power.
PetroVietnam Gas said the terminal will receive Vietnam’s first ever LNG cargo on Monday next week.
It said in May the cargo of 50,000 to 70,000 tonnes from Singapore-based Shell Eastern Trading was for test running the terminal.
(Reporting by Khanh Vu; Editing by Martin Petty)