Infrastructure Development of Philippines' First LNG Import Terminal

Efforts are moving forward on the development of an LNG terminal, which is planned to be the first commissioned in the Philippines and part of a strategy to build a regional LNG hub in Southeast Asia. The project is being developed by the Atlantic Gulf & Pacific Company (AG&P), which awarded a contract for the construction of elements of the infrastructure of the import terminal to Acteon, a marine energy and infrastructure services company.

AG&P completed its pre-development work for the Philippines LNG (PLNG) import and regasification terminal earlier in 2021 and in March received official approvals and the Notice to Proceed from the Philippines’ Department of Energy. The plan calls for PLNG to become the import point for LNG, which will be stored and distributed to power plants, industrial and commercial customers. The terminal will be located at the southern end of the main island of Luzon in Batangas Bay and is scheduled to be commissioned by the summer of 2022.

“AG&P is privileged to have AIS take on the marine scope for our PLNG facility, which will be the first LNG import and regasification terminal in the Philippines and become a critical gateway for clean fuel in this beautiful and fast-growing country,” says Zickie Allgrove, senior vice president, AG&P.

The contract with Acteon includes the local transportation and installation of jacket structures to form the LNG berth. These structures will vary across the construction site and will include approach trestles, mooring and berthing dolphins, and associated sections including walkways, fenders, and mooring hooks. The Acteon Integrated Solutions team will be responsible for the full construction of the jetty and all the marine works, except anything to do with the transportation of the LNG product.

“The Philippines LNG Terminal is a landmark development for the country that will accelerate industrialization, create jobs, lower pollution, and trigger overall economic and social progress. It will, directly and indirectly, improve the quality of life for many thousands of Filipinos,” said Karthik Sathyamoorthy, President of LNG Terminals & Logistics, AG&P, when he announced that the project was proceeding in the spring.

When completed, PLNG will have the initial capacity to deliver up to 3.0 MTPA of regasified LNG, with additional capacity for liquid distribution. It will have a scalable onshore regasification capacity of 420mmscfd and almost 200,000cbm of storage that will ensure the availability of natural gas for its customers.

The Philippines’ Department of Energy approved AG&P’s application in line with its commitment to make the Philippines a regional LNG hub in Southeast Asia. As an initial step, PLNG will serve to start the country’s LNG importation and regasification ability.