Japan Petroleum Exploration Company Limited (JAPEX) has just announced that it will participate in the project of building an LNG (liquefied natural gas) terminal in Vietnam. Accordingly, JAPEX signed a contract with ITECO Joint Stock Company to implement the project in Nam Dinh Vu industrial park, Hai Phong city.
JAPEX contributes capital with ITECO to build LNG terminal in Nam Dinh Vu Industrial Park
JAPEX was established in 1955 as a company engaged in major Japanese oil and natural gas exploration, development and production. The company is headquartered in Chiyoda-ku, Tokyo, Japan.
ITECO is an enterprise operating in the industrial sector. ITECO wishes to bring to customers and partners options in the process of implementing the most feasible projects, works or solutions in the industry.
On its website, JAPEX said that on December 28, 2021, the company signed a contract to buy shares of ITECO Joint Stock Company to implement the project of building an LNG terminal in Nam Dinh Vu Industrial Park to supplying LNG to the Vietnamese market.
The LNG terminal built in Hai Phong helps to solve the difficult problem for the supply of liquefied natural gas in Vietnam
At the Workshop on Challenges and Prospects of the Gas Market, taking place on the morning of November 14, 2021, in Hanoi, Ms. Ngo Thuy Quynh, Deputy Director of the Department of Petroleum and Coal (Ministry of Industry and Trade) said: “The fields Vietnam’s gas from after 2022 is expected to decline. Not to mention, natural gas is currently not in excess for liquefaction, only enough to supply power plants through pipelines. Therefore, in the future we will have to import liquefied petroleum gas (LNG) to meet domestic demand.”
According to the goal of the Ministry of Industry and Trade, in the period of 2021 – 2025, it will be imported and distributed from 1 to 4 billion m3 of LNG/year, from 2026 to 2035, 6 – 10 billion m3 per year.
Therefore, the project to build LNG terminal of JAPEX and ITECO in Dinh Vu Industrial Park will make a great contribution to the supply of liquefied natural gas to the Vietnamese market. Therefore, this project was approved by the Government to be added to the Master Plan for Development of the Gas Industry on February 11, 2020.
Moreover, the implementation of this project will also contribute to ensuring an adequate supply of liquefied natural gas for Hai Phong and the entire Northern region, serving the goal of strong and breakthrough socio-economic development. 45-NQ/TW dated January 24, 2019 of the Politburo on the construction and development of Hai Phong city by 2030, with a vision to 2045 of deflation. greenhouse gas emissions, towards the goal of green and sustainable development.
According to the initial development plan, the project will build a 50,000 m3 LNG storage tank, wharf for LNG import and related ancillary items capable of supplying up to 650,000 tons of LNG annually as planned. The facilities built in the project are expected to start commercial operation in 2025. In line with the project, ITECO JSC is currently conducting discussions on LNG procurement as well as off-take and distribution. .
“Japex will meet the demand for natural gas and LNG as a lower environmental impact energy source in Japan and other countries, leveraging our ability to supply natural gas, such as operate the LNG terminal and establish a gas supply chain,” said JAPEX.
Nam Dinh Vu Industrial Park is extremely honored to be selected by investors as the place to build LNG terminal warehouse. We will support our partners to the best of our ability to help this project succeed and thrive in the future.