Excelerate Moves Ahead with Batangas City LNG Terminal
Excelerate Energy has received approval from the government of the Philippines to move ahead with permitting for a floating LNG import terminal project in the Bay of Batangas, about 50 miles south of Manila.
If permitted, financed and built, the new project would supply natural gas to power plants serving the island of Luzon, including new power generation facilities. It would offset declining gas volumes from the Philippines' Malampaya offshore field, which was first developed in 2001.
Texas-based Excelerate Energy, the leading operator of FSRUs, says that its technology is proven for extreme weather conditions (like typhoon events experienced in the Philippines). It has previous installations in the Gulf of Mexico, the North Atlantic and the Bay of Bengal.
The proposed project will be located offshore from the city of Batangas to minimize the impact to the existing shipping traffic in the area and coastline. The project package from Excelerate includes everything - the LNG terminal, the purchasing of LNG to supply the terminal, the distribution of the gas on shore, and all associated permitting, financing, construction and terminal operations.
"Excelerate is the only company with the experience to deliver all that is required for this complex project – this will not be our first time,” said Excelerate Energy CCO Daniel Bustos. “We are in the unique position to offer the most industry experience to the Philippines to deliver a safe, efficient, and reliable project.”
Over the long term, Philippine power plant operator First Gen Corporation wants to build an onshore LNG import terminal in Batangas City, with operations beginning in 2024. In a competing measure, it plans to bring in an FSRU as a near-term supply source while planning and construction proceed.