ExxonMobil, Hai Phong City and JERA sign memorandum of understanding for integrated LNG to power project in Vietnam
ExxonMobil, Hai Phong People’s Committee and Japan power generation company JERA have signed a Memorandum of Understanding (MOU) to work together on a potential integrated LNG to Power project in Hai Phong.
ExxonMobil, the Hai Phong city government and JERA have agreed to expand on their strong cooperation and exchange of expertise to jointly study natural gas market development opportunities, including LNG import facilities and gas-fired power plants.
ExxonMobil has submitted a master plan application with a project concept for consideration and potential inclusion in Vietnam’s National Power Development Plan (PDP). Hai Phong City has submitted a letter of recommendation to include power demand with potential locations of power plants and LNG import infrastructure. The project submissions are pending government approvals.
LNG-fueled power in Hai Phong will provide a more environmentally friendly alternative to the currently proposed coal projects in the master plan.
“Hai Phong is industrializing at a fast pace, with an annual growth rate of over 20 per cent. Therefore, our annual power consumption is growing and is expected to double between 2020 and 2030,” said Nguyen Van Tung, Chairman, Hai Phong People's Committee. “Hai Phong City is pleased to collaborate with ExxonMobil and JERA to provide a clean energy resource for Vietnam in Hai Phong City.”
“ExxonMobil is honored to work with JERA and Hai Phong City to explore innovative approaches to bring about competitive LNG-to-power projects in Vietnam,” said ExxonMobil Hai Phong Energy director Irtiza Sayyed. “As a gas industry leader with strategic access to LNG supplies around the world, ExxonMobil is well-positioned to supply cleaner, reliable energy to power Vietnam’s future.”
“JERA is extremely pleased to participate in the Hai Phong project being developed by ExxonMobil and we are eager to utilize our expertise in the entire LNG value chain for successful project implementation. We have more than 50 years of experience as the world’s first utility who introduced LNG to the power industry,” said JERA’s managing executive officer and senior operating officer James H. Vigil. “Vietnam is a very important country for JERA, and we would like to contribute to its prosperity through various initiatives, including this important project.”
This MOU signing is in line with the goals of the Japan US Strategic Energy Partnership (JUSEP), to support energy access and investments for the sustainable economic development and energy security of Vietnam.
The virtual signing ceremony is available for viewing here:
Established in 2015, JERA is an equal joint venture of two major Japanese electric companies, TEPCO Fuel & Power Incorporated and Chubu Electric Power Company. JERA is the largest thermal power generator in Japan and has one of the largest LNG procurement portfolio in the world. JERA also has a global presence in the entire energy supply chain, from participation in LNG upstream projects and fuel procurement, through fuel transportation to power generation including thermal power generation and renewables. For more details: www.jera.co.jp/english