Samat LNG Corp. signed a long-term lease agreement with state-owned Philippine National Oil. Co. for 4.5 hectares of land at the PNOC Industrial Park in Limay, Bataan.
Samat LNG will use the land for its small-scale liquefied natural gas (LNG) receiving terminal and regasification facility.
Samat LNG president Capt. Roy Watson and PNOC president Oliver Butalid signed the lease agreement on Sept. 14.
“Our aim is to bring LNG to the Philippines, enabling companies and others to change over from diesel to cleaner, more affordable gas as a fuel for power generation, manufacturing and as a transportation fuel,” Watson said earlier.
“By doing so, we’ll play our part in shifting the energy mix an important step closer to the essential goal of long-term sustainability,” Watson said.
Samat’s LNG project will be capable of importing 200,000 to 400,000 tons of LNG annually and is expected to supply LNG to fuel small-scale independent power producers, manufacturing companies and transport fleets.
LNG will be distributed to customers by a dedicated fleet of LNG trucks, small LNG vessels and barges within its neighboring regions.
Department of Energy director for the Oil Industry Management Bureau Rino Abad earlier said Samat LNG is securing the site and “they are moving fast.”
The DOE issued the notice to proceed (NTP) with the project in January.