PV Gas to inaugurate LNG terminal in southern Vietnam this month

PV Gas will inaugurate and begin operating its LNG Thi Vai terminal, the first and biggest one of its kind in Vietnam, later this month after nearly four years of construction.

In a Monday announcement, PV Gas, listed on the Ho Chi Minh Stock Exchange (HoSE) as GAS, said the facility’s average storage capacity will be one million tons of LNG a year, with a maximum of 1.5 million tons in the first phase. The capacity can be expanded to three million tons a year in the second phase.

Project construction began on October 29, 2019 and trial operations began on July 30, 2023. The project of national importance is located close to the Cai Mep-Thi Vai waterway in the southern coastal province of Ba Ria-Vung Tau and is capable of accommodating huge LNG cargo ships.

The terminal was constructed by Samsung C&T and Petrovietnam’s technical arm PTSC. The state-of-the-art facility is a major step for Vietnam in fulfilling energy demands for socio-economic growth and in transitioning towards green energy transition amid challenges in domestic exploitation of oil and gas, according to the release.

LNG tanks, the key feature of the project with a height of 50 meters and outer diameter of 82 meters, were built per the full-containment model. Its outer layer is made of pre-stressed concrete, while the inner layer is made of 9% nickel steel. The tanks are capable of withstanding low temperatures of liquified LNG at negative 162 degrees Celsius.

The 5.9-kilometer Thi Vai-Phu My pipeline, connected to the Nam Con Son 2 (phase 2) pipeline, will deliver degasified LNG from the new terminal to households with high pressures of over 50 barg.

The Thi Vai Pressure Reduction facility will deliver degasified LNG at low pressures of 25 barg to customers in the industrial parks of Cai Mep, Phu My 3 and other facilities.

The terminal will also supply LNG at low pressure to customers and households via trucks.

All processes at the terminal, including pumping LNG into storage, degasification and delivery to customers are monitored and controlled at a command center equipped with modern equipment and surveillance systems to ensure safety and efficiency.

The terminal will serve customers in the southeastern region of the country and offset the expected reduction in gas supply, PV Gas said. It will also help ensure fuel supply for power plants under the 2021-2030 national energy plan approved by the Prime Minister in July, the announcement noted.

GAS shares closed Thursday at VND84,200 ($3.45), down 1.86%.