DOE enticing Japanese firms to invest in PHL liquefied natural gas hub

Philippine economic managers have traveled to Japan to attract Japanese investors and attend the fifth regular meeting of the Philippines-Japan High-Level Committee on Infrastructure and Economic Cooperation which was held June 20.

Among the Filipino officials are from Department of Energy (DOE) led by Secretary Alfonso G. Cusi.

The DOE delegation’s focus is on encouraging natural gas companies in Japan to invest in the Philippines’ liquefied natural gas (LNG) Hub Terminal project in anticipation of the Malampaya Gas Field’s depletion by 2022.

The projected LNG Hub Terminal will allow the importation of natural gas, condensed in liquid form for portability, and a facility that will allow its regasification.

The government eyes to put the LNG Hub Terminal in operation before the anticipated depletion of Malampaya Gas Field.

Among the companies DOE is in serious talks for the project is Tokyo Gas.

“The strategic location of the Philippines, as well as the fair and competitive playing field policy for natgas would entice investors to engage in the LNG terminal project,” Cusi said. “In addition to discussions on LNG investments, our top officials and staff are undergoing extensive training to effectively monitor, regulate and supervise the upcoming Philippine LNG industry.”

According to DOE, natural gas from the Malampaya Gas Field provides the fuel requirements of five gas-fired power plants, all located in the province of Batangas, with a combined capacity of 3,211 megawatts (MW).

“The construction of strategic natural gas facilities, which includes LNG receiving terminals and distribution pipelines, are necessary to ensure the security and diversity of the energy supply in the Philippines. It also provides the option of expanding the use of natural gas in the Philippines,” Cusi said.