FGEN LNG Corp., a wholly owned subsidiary of Lopez-led First Gen Corp., announced the commissioning of its liquefied natural gas (LNG) terminal, marking a significant development in its LNG project.
“First Gen’s LNG Terminal is now in the commissioning process and we look forward to utilizing LNG to support the energy security needs of the island nation,” said First Gen Executive Vice President Jonathan Russell.
First Gen had said that its LNG terminal will accelerate the ability to introduce LNG to the Philippines, to serve the natural gas requirements of existing and future gas-fired power plants of third parties and FGEN’s affiliates.
“FGEN believes the FGEN LNG Terminal will play a critical role in ensuring the energy security of the Luzon grid and the Philippines.”
Recently, First Gen said it tapped Shell Eastern Trading Pte. Ltd. to deliver about 154,500 cubic meters of LNG cargo to its subsidiary First Gen Singapore Pte. Ltd.
The cargo will be transported by an LNG carrier, which will then handle the gassing-up and cooling-down of the BW Batangas floating storage regasification unit (FSRU) at Subic Bay, before transferring the cargo into storage tanks on board.
The BW Batangas is the FSRU of FGEN and BW LNG. After the LNG transfer into the storage tanks, the BW Batangas will then return to FGEN LNG’s terminal in Batangas to complete the commissioning activities.
First Gen’s four natural gas-fired power plants have a combined capacity of 2,017 megawatts.
Last month, First Gen reported that it posted a recurring net income of P9 billion in the first semester, up by 30 percent from last year’s P7 billion, due to the strong performance of its subsidiary, Energy Development Corp. (EDC).
“It was EDC that mainly delivered higher earnings as a result of better operating income from higher electricity prices,” First Gen said.
Revenues stood at P71 billion at end-June this year, up from P66 billion from last year’s level. The company attributed this from elevated natural gas and Wholesale Electricity Spot Market prices.
