(UPDATED) The Department of Energy (DOE) has approved the Notice to Proceed (NTP) application of Vires Energy Corporation (VEC) to develop its proposed integrated natural gas-fired power plant and liquefied natural gas (LNG) storage and regasification terminal project in Batangas City.

The NTP is valid for six months, in which the firm must submit to the DOE all relevant permits from various government agencies, endorsements from the local government units, and proof of financial closing.

Securing an NTP is the first step in developing LNG terminals and other downstream natural gas projects, which gives proponents the authority to secure all necessary permits and clearances.

The DOE granted Vires’ NTP last Thursday (April 22) and was confirmed by parent firm A. Brown, Inc. its in disclosure to the Philippine Stock Exchange.

VEC proposed a floating storage and regasification unit (FSRU) with approximately 162,400 m3 of storage capacity, to be located 1.6 kilometers (km) from the southeastern coastline of Batangas Bay. The FSRU is a converted LNG Tanker, “BW Paris,” built in 2009 with a regasification capacity of up to three million metric tonnes per year.

BW Paris will also be supplying First Gen Corporation’s LNG terminal, also located along the Batangas Bay’s coastline.

VEC’s proposed LNG terminal and regasification project will consist of a Turret Mooring System for the FSRU, a 1.6km Subsea Gas Pipeline, and a 500-megawatt floating power plant (FPP), which shall serve as an anchor market, making it the country’s largest FPP project to-date. The project will also utilize a land area classified as a “Heavy Industrial Zone” for backup fuel supply of diesel fuel during gas outage events.

Energy Sec. Alfonso Cusi expressed hope that Vires will be able to complete all the requirements needed within the six-month timeframe.

“The proposed integrated natural gas-fired power plant and LNG storage and regasification terminal project of Vires Energy Corporation will boost the attainment of our vision to develop the Philippines as a LNG hub in the South East Asian region,” Cusi said in a statement.

VEC aims to begin operating its integrated LNG terminal project by January 2023.

Photo from BW Gas/Splash247.com.