PV Gas, Shell sign gas trading contract

Friday, Jun 20, 2014 16:44

PV Gas and Shell representatives shake hands as they reach cooperation agreement on June 16. — Photo pvgas.com.vn

HA NOI (Biz Hub) ─ PetroVietnam Gas Joint Stock Corp (PV Gas) and global energy and petrochemicals group Shell reached cooperation agreements related to liquefied natural gas, or LNG, on June 16.

PV Gas announced this on its website on Friday.

Representatives of the companies signed a memorandum of understanding to jointly develop the Son My LNG import dock warehouse in the south-central province of Binh Thuan. They also inked a framework contract for trading gas to serve a similar facility named Thi Vai in the southern province of Ba Ria – Vung Tau.

The Son My warehouse is expected to come into operation by 2017 and will be able to store a million tonnes of gas per year. The Thi Vai facility will be operational by 2019-20 and have a capacity of over 3.6 million tonnes per yer.

PV Gas said both projects are vital for its strategy to diversify gas supply sources and assure the national energy security in the coming years, as the country is deprived of gas.

PV Gas is among major members of the Viet Nam National Oil and Gas Group and plays a key role in the domestic gas industry.

The Royal Dutch Shell, headquartered in the Netherlands, represents about 12 per cent of the world's LNG transport vessels, according to PV Gas. ─ VNS

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