PV Gas, the gas arm of state-run energy giant Petrovietnam, plans to develop a liquefied natural gas (LNG) hub in the northern province of Nam Dinh with a supply radius of 200 kilometers.
PV Gas CEO Pham Van Phong revealed the information at a meeting with provincial authorities on Monday.
To facilitate the firm’s investment, Phong proposed the provincial government allow it to conduct a feasibility study and allocate space for it to develop a gas-fired power plant of at least 1,500 megawatts and a deep-water port.
The energy hub is part of PV Gas’s broader plan to invest in sizable LNG terminals at key economic regions across the country, the executive said.
He noted that PV Gas is currently the largest dry gas provider, liquefied petroleum gas (LPG) producer and trader in Vietnam, in addition to being the first importer of LNG to the country.
The firm now provides fuels for producing nearly 11% of electricity output nationwide, meets 70% of national demand for nitrogen fertilizer, and commands 65-70% of the country’s LPG market.
It earned a consolidated net profit of VNND11.6 trillion ($476 million) on revenue of VND89.95 trillion in 2023, down 21.6% and 10.7% year-on-year.
In response to PV Gas's request, Pham Gia Tuc, chief of the Nam Dinh Party Committee, said that the province is seeking to beef up investment in gas and wind power projects to ensure supply and meet demand for industrial development.
Tuc assured that his province can meet conditions for PV Gas's investment in the LNG hub.
Japan’s Tokyo Gas has partnered with its compatriot firm Kyuden International Corporation and Vietnam’s Truong Thanh Vietnam Group to build a $2 billion, 1.5 GW LNG-to-power plant in Thai Binh province, adjacent to Nam Dinh. Work on the plant is expected to start in the third quarter of next year.