The Department of Energy (DOE) is optimistic about the completion of the two Liquified Natural Gas (LNG) facilities, which will play a crucial role in importing LNG to support the reliable fuel supply for the country’s gas-fired power plants.
Linseed Field Corporation successfully completed the first LNG importation and is now providing natural gas to the Ilijan Natural Gas Power Plant. With the supply of LNG, the Ilijan plant is now providing power to the grid on June 1, and its contribution to the energy supply in the Luzon grid is expected to increase in the upcoming months.
Meanwhile, FGEN LNG Corporation (FGEN LNG) is in the process of establishing its first LNG cargo delivery window, scheduled for later this year. This LNG facility will not only contribute to the natural gas supply but also ensure a reliable source for its power plants in Batangas.
DOE expressed its support for the collaboration between FGEN and Prime Infrastructure Capital, Inc. (Prime Infra) in the lease and operation of the FGEN LNG terminal.
“These recent developments demonstrate the sustained interest of private entities in investing in crucial infrastructures that facilitate the importation and utilization of LNG. This investment complements the available gas supply from the Malampaya reservoir and addresses the growing energy demand in the country,” DOE said in a statement.
In addition, the inclusion of LNG in the energy mix provides diversification and expansion opportunities, ensuring the country’s energy requirements are met. It brings fuel and technology that offers flexibility in meeting various grid demands, from baseload to reliable mid-merit and peaking power supply. This flexibility also enables the further development of intermittent renewable energy technologies like solar and wind.
