Egat receives 65,000 tonnes of LNG from Petronas

[rooster59]

Egat receives 65,000 tonnes of LNG from Petronas

By THE NATION

 

 

The Electricity Generating Authority of Thailand (Egat) on Saturday (December 28) received the first lot of liquefied natural gas (LNG) totalling 65,000 tonnes delivered by Malaysia's Petronas LNG.

 

The LNG cargo arrived at an LNG-receiving terminal of PTT LNG in Rayong. The Malaysian firm won the bid for the procurement and import of 130,000 tonnes of LNG by state-owned Egat.

 

 

 

Egat will procure and import LNG in two stages of 65,000 tonnes each in the spot markets, in line with the resolution of the Energy Policy Administration Committee on August 30 this year that Egat can import LNG from spot markets not exceeding 200,000 tonnes. The second shipment is due in April next year.

 

Its LNG import is also in line with the government's policy of promoting competition in LNG trading and procurement and preparing for the liberalisation of LNG import.

 

Egat passed this first lot of LNG into PTT's gas pipelines in order to power Egat's Unit 5 of the Bangpakong power plant in Chachoengsao province, and Unit 4 at Wang Noi plant, Ayutthya province. The second shipment will fuel the newly-built Unit 1 of the South Bangkok power plant in Samut Prakarn province, in addition to Unit 5 of Bangpakong power plant in Chachoengsao province, and Unit 4 at Wang Noi plant, Ayutthya province.

 

 

Source: https://www.nationthailand.com/business/30379952

 

-- © Copyright The Nation Thailand 2019-12-29

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[dabhand]

Strange no mention in the article that LNG prices are at record lows with a knock on effect of lower prices for the consumer...........

 

https://www.hellenicshippingnews.com/asian-lng-buyers-target-record-low-prices-in-watershed-contract-talks/

 

https://www.theguardian.com/business/2019/dec/26/energy-bills-for-millions-of-households-to-fall-after-gas-prices-halve

[mshs]

Same in Qatr where they are celebrating 122 million metric tons pa by 2027 from the current 77 million.  Supposedly, a 50% decline in prices will be offset by 66% increase in production/export.

 

 

[Srikcir]

On 12/29/2019 at 6:40 AM, rooster59 said:

Egat receives 65,000 tonnes of LNG from Petronas

Some confusing (to me at least) history here.

• Sept. 20, 2019: Energy Minister has yet to decide on the plan to import 1.5 million tonnes of liquefied natural gas (LNG) annually from Malaysia's Petronas LNG.
• Jun 6, 2019 - Malaysia's Petronas set to supply Thailand's EGAT its first LNG imports
• Nov. 28, 2019 - EGAT said it plans to import the LNG in two shipments of 65,000 tonnes each in the spot-market from Petronas.
• Dec. 21, 2019 - Thailand has called off a plan for its state-run power producer to import up to 1.5 million tonnes of liquefied natural gas (LNG) per annum from Malaysia's Petronas.

Thailand not a trusted trading partner because of an uncertain economic future?

I'd think that with an alleged over-valued baht that now would be the time for EGAT to import as much LNG from Petronas as much as possible rather than reducing its commitments.

Just as a further note, the 1.5 million tons of LNG imported from Petronas was part of Prayut's updated 2015 energy development plan that is now enshrined in the 20-year national strategy plan. So it's possible that this change in LNG import commitments from Petronas might have violated that plan which would constitute an unconstitutional act. Any changes or deviations from the NSP requires constitutional amendments and the Senate is empowered to monitor compliance. Shouldn't the Senate review this alteration in commitments in the nation's energy plan?