PetroVietnam, AES sign JV deal
State-owned PetroVietnam Gas has signed a joint venture agreement with US-based AES Corp regarding the operation of Son My LNG import terminal in Vietnam, it said on September 22.
Son My LNG terminal project is part of a chain of LNG power projects in Binh Thuan province, with an estimated total investment of $1.31bn. The terminal will have a capacity of 3.6mn metric tons/year in the first phase and will go up to 9mn mt/yr in the subsequent phase, the company said.
The terminal will receive, process and supply regasified LNG as fuel for two power plants Son My 1 and Son My 2, which are expected to be put into operation from the end of 2025. AES and Petrovietnam Gas, a unit of state-run PetroVietnam, signed an agreement to develop the Son My LNG terminal in October last year.
At present, Vietnam does not import any LNG but expects to begin buying the fuel next year, the country’s minister of industry and trade Nguyen Hong Dien said in a pre-recorded video address posted on YouTube on September 10 ahead of the 10th LNG Producer-Consumer Conference on October 5.
The southeast Asian country is promoting gas-fired power as it moves away from coal and oil-based generation.