The JCA follows the signing of a joint development agreement by Tokyo Gas and First Gen in December 2018 for the construction of the LNG terminal
Tokyo Gas will have 20% stake in the construction and operation of the LNG terminal project. (Credit: LEEROY Agency from Pixabay)
Tokyo Gas has signed a joint cooperation agreement (JCA) with First Gen Corporation to pursue construction and operation of an Interim Offshore LNG Terminal in Batangas City, Southern Luzon Island, Philippines.
The JCA follows the signing of a joint development agreement in December 2018 for the construction of an LNG receiving terminal.
As per the JCA, the two parties will jointly construct, operate and maintain the Interim Offshore LNG Terminal. Tokyo Gas will have 20% stake in the construction and operation of the project.
The Interim Offshore LNG Terminal project involves converting the existing jetty into a multi-purpose jetty and constructing an adjunct onshore gas receiving facility.
Interim Offshore LNG Terminal to become operational in 2022
Last month, Tokyo Gas and First Gen secured construction permit from the Philippines Department of Energy for the Interim Offshore LNG Terminal, which is planned to be commissioned in the second half of 2022.
In the Group Management Vision “Compass 2030”, Tokyo Gas disclosed its intention to increase overseas profits by approximately threefold through business expansion, by 2030.
In a press statement, Tokyo Gas said: “Taking advantage of the technology and know-how related to our comprehensive energy business, we will contribute to energy solutions for customers and to the construction of energy infrastructure, while also taking on the challenge of developing value chains in other countries through alliances with local energy companies.”
Separately, McConnell Dowell has been selected by FGEN LNG, a wholly-owned subsidiary of First Gen, as its preferred bidder for the engineering, procurement and construction (EPC) of its Interim Offshore LNG Terminal.
FGEN LNG is also readying to issue a binding invitation to tender for a floating storage and regasification unit (FSRU).