FGEN seeks bids for LNG supply

By Lenie Lectura – September 5, 2024
from Business Mirror

First Gen’s natural gas-fired power plant in Batangas.

First Gen Corp. (FGEN) has issued a spot tender for one cargo of liquefied natural gas (LNG) which will be used by its gas plants in the First Gen Clean Energy Complex (FGCEC) in Batangas.

In a bid invite, the Lopez-led firm seeks to procure one LNG cargo for the supply of approximately 154,500 cubic meters on a delivered-ex-ship (DES) basis to FGEN’s wholly-owned subsidiary, First Gen Singapore Pte. Ltd (FGEN Singapore) at Subic Bay Freeport in Zambales.

The LNG cargo’s delivery date could fall between October 14 and 18.

This is First Gen’s seventh tender, according to the bid invite. The award to the selected bidder is expected to be made on September 16.

FGen had deferred the delivery of one LNG cargo after it awarded a contract to TG Global Trading Co. Ltd. (Tokyo Gas) for the supply of approximately 125,000 cubic meters.

FGEN president Francis Giles Puno earlier said the company has enough gas supply for now.

“We’re rethinking because there is still gas. Malampaya is still there and we still have residual gas,” said Puno.  “We’re producing as much as we can.  In the meantime, Malampaya gas is being mixed with LNG. So basically, we have to defer.”

The LNG cargo that was supposed to be provided by Tokyo Gas would be delivered by an LNG carrier which will be unloaded into the storage tanks of the BW Batangas floating storage and regasification unit (FSRU) that is currently berthed at the FGCEC.

FGEN had awarded similar contracts to Shell Eastern LNG, Trafigura, TotalEnergies Gas and Power Asia Private Ltd., and CNOCC Gas and Power Trading & Marketing Ltd.

FGEN has a portfolio of four existing gas-fired power plants with a combined capacity of 2,017 megawatts that have been supplied for many years with gas from the Malampaya field, an indigenous offshore gas field.

Image credits: www.firstgen.com.ph