$143 mln LNG storage facility proposed in central Vietnam

Van Tuong Energy JSC under Vietnamese fuel business Hai Linh Company Limited has proposed building an LNG storage facility in the central province of Quang Ngai, with total investment of about VND3.77 trillion ($143.44 million).

The project is to be located at the Eastern Industrial Park within Dung Quat Economic Zone in Van Tuong commune.

It will cover 19 hectares with capacity of about 1.2 million tons of LNG a year, the Dung Quat Economic Zone and Quang Ngai Industrial Parks Authority reported to the provincial People’s Committee on Thursday.

It includes an initial fast-track supply phase of 0.5 million tons annually, followed by Phase 1 adding around 0.7 million tons a year.

The project will have an operating term of 50 years from the date land is allocated or leased.

Prior to this project, Hai Linh in August 2025 inaugurated the Cai Mep LNG terminal in Ho Chi Minh City. In October the same year, it established Van Tuong Energy JSC in Quang Ngai to facilitate investment procedures.

Van Tuong plans to invest in gas pipelines linking ports to storage tanks and onward to end users, supplying cleaner and safer fuel while reducing pollution and meeting LNG demand from projects at Dung Quat Economic Zone and industrial parks in Quang Ngai.

Quang Ngai’s Vice Chairman Do Tam Hien said the proposed project aligns with the province’s development strategy. He directed the Dung Quat Economic Zone and Quang Ngai Industrial Parks Authority, in coordination with relevant departments, to guide and support the investor in addressing hurdles and expediting required procedures to advance the project in line with regulations.

Vietnam has already brought several LNG terminals into operation, including Thi Vai and Cai Mep in HCMC. In Quang Ngai, a number of plants have demand for LNG, while the Dung Quat Oil Refinery has switched to LNG as a production fuel since 2023, gradually replacing liquefied petroleum gas (LPG) and fuel oil (FO).