A Memorandum of Understanding was entered recently by State-owned firm Philippine National Oil Co. (PNOC), Phoenix Petroleum and CNOOC Gas and Power Group Co. Ltd (CNOOC G&P) for the liquefied natural gas (LNG) hub project.

The LNG hub project is expected to break ground through its regasification and receiving terminal with a capacity of 2.2 metric tons per annum (mtpa), with commercial operations targeted to start by 2023.

The MOU will allow the three companies to explore and discuss business opportunities and cooperation in relation to the equity investment in Tanglawan Philippine LNG Inc. and other companies relating to the project, PNOC facilities, market development, PNOC banked gas, and future energy projects.

In a press statement, Henry Albert Fadullon, Chief Operating Officer of Phoenix Petroleum, said, “We warmly welcome the potential addition of PNOC in the LNG hub project we have been planning to venture on with CNOOC G&P. The LNG hub is a crucial project that will provide long-term solutions for our country’s energy needs, and the strategic alliance among our companies will further secure the continuous development of this venture.”

How this facility will help sustain environmental friendly energy?According to the group, the facility will help support the demand for a clean, competitive, and environment-friendly energy source in Luzon, and provide energy security for the country. It also aims to develop a gas-fired power generation facility with up to 2,000 megawatts installed capacity.

The Memorandum of Understanding was signed by Phoenix Petroleum President and Founder Dennis Uy, CNOOC G&P Chief Finance Officer and Vice President Wu Zhengxing, and PNOC President and CEO Admiral Reuben Lista (Ret). The signing of the MOU was made in the presence of DOE’s Secretary Alfonso Cusi held at the Department of Energy office.