South Korean LNG importing giant Kogas and Energy Capital Vietnam (ECV) have entered into a memorandum of understanding (MOU) for the development of a privately-funded LNG regasification terminal in Vietnam.
ECV said on Tuesday that the MOU also covers the development of a storage facility, gas supply system, and a 3,200 MW gas-fired power project near Mui Ke Ga, Binh Thuan Province, Vietnam.
The MOU entails Kogas and ECV working together to optimize their efforts to meet the significant LNG demand growth forecasted for Vietnam. The scope of the memorandum covers matters relating to cooperation and collaboration on the project.
David Lewis, CEO of ECV said Kogas’ strong presence in the LNG business together with ECV’s position as one of the first LNG movers in Vietnam, allows both companies to leverage each other’s strengths to bring LNG to Vietnam and help address critical energy security needs.
ECV also awarded a contract for the provision of feasibility services for the project to Houston-based LNG engineering firm KBR. The deal includes detailed analysis of optimal design combinations. Completion of the study is expected in the third quarter of 2019.