AES Says Panama LNG Hub Now Operational
US-based AES Corp said October 18 its AES Colon LNG hub in Panama, the first serving Central America, has begun operations.
AES Colon consists of a 180,000 m3 LNG tank and a 381-MW combined cycle power plant, which has been operating since 2018 using gas from temporary sources.
AES said commercial operations at the complex will allow for the use of LNG throughout the region and establish Panama as the natural gas hub for the Central American region.
“The inauguration of the AES Colon storage facility is a significant milestone toward transforming the Central American energy sector, and enabling a safer and more sustainable energy future,” AES CEO Andres Gluski said. “Since AES introduced natural gas in the Dominican Republic 19 years ago, it saved consumers more than $500mn a year and avoided approximately 4mn tons of CO2 emissions annually.”
About 80% of AES Colon’s terminal capacity has been reserved for the use of industrial and commercial companies in Panama and Central America, leaving additional capacity available as a further source of growth for AES.
AES Colon was built in 39 months and has employed more than 2,000 Panamanians since the start of the project, AES said. The company is currently developing a similar project in Vietnam, where it will underpin a 2.2-GW combined cycle power plant.