Vires Energy Corp. tapped a Norwegian company to start the construction of a 200-megawatt liquefied natural gas power plant in Batangas City this year.
Vires, a local company, received an approval from the government to conduct a grid impact study on the proposed LNG power project.
Vires signed last month a technology license agreement with Sevan Marine’s subsidiary HiLoad LNG AS for an LNG receiving and regasification terminal in the Philippines.
Sevan Marine, an engineering company based in Norway, said in a statement Vires decided to move forward with the project, after conducting a feasibility study last year.
Vires also signed a separate engineering service contract with HiLoad LNG for design and engineering work. Payment under the license agreement is subject to Vires constructing and operating the regasification terminal.
Vires was formed as company to develop reasonably priced, clean and sustainable energy.
Sevan Marine said Vires expected to start construction of the LNG project this year.
Sevan Marine acquired the rights to the proprietary HiLoad technology for gas and LNG applications and hdeveloped solutions for offshore loading of LNG and LNG receiving and regasification terminals based on the HiLoad technology.
The LNG receiving and regasification terminal, called floating regas dock, provides a competitive alternative to floating, storage and regasification unit for smaller volumes, ranging typically from 50 to 200 million standard cubic feet per day.
“We are very pleased that Vires came to us with their regasification requirements, and we look forward to working with Vires on this ground-breaking project. We believe there is a significant market for this solution, which provides clean gas as fuel for power plants and fills a niche in size below the more traditional FSRUs. We hope that the Vires contract is the first of many,” said Lars Odeskaug, the man in charge of Sevan Marine’s LNG projects.
HiLoad LNG AS is owned 95-percent by Sevan Marine ASA and 5 percent by 7 Seas Technology AS.
The company provides engineering services and sells licenses for use of the HiLoad technology for offshore loading of LNG and for LNG receiving and regasification terminals.
Sevan Marine ASA specializes in design, engineering and project execution of floating units for offshore applications, based on its patented cylindrical floater technology.