Project Profile
Location: Batangas Province, Philippines
Value: US$1 billion
Capacity (FSRU): 170,000 cubic metres of LNG
Start-up Year: 2020-2022
Shell has completed the feasibility study to build a floating storage and regasification unit (FSRU) to import liquefied natural gas (LNG) in Philippines. The company has moved on to the front end engineering and design (FEED) stage. This FSRU should be moored close to the existing Tabangao Refinery, in the Batangas Province, in the Philippines. As a result of this feasibility study, Shell selected the FSRU concept as it appeared as the most costs effective to install the first LNG import terminal in Philippines. To save time and costs Shell and the Philippines Ministry of Energy are considering to convert an LNG carrier into this Tabangao FSRU.
The execution of the project may depend on the time for Shell to find a LNG Carrier that could fit to be converted into the Tabangao FSRU. Since a LNG carrier is already equipped with most of the installation to load, maintain and regasify LNG, the modifications of an existing vessel into the Tabangao FSRU should take only two years after the FID is made. Original plans for Batangas LNG project to start commercial operations were for second half 2016 or first half 2017.
In addition to the technical aspects, Shell is expecting to give a more accurate costs calculation of the Batangas LNG project currently estimated to US$1 billion capital expenditure including the:
- Acquisition of the LNG carrier
- Conversion into the FSRU
- Connection to shore
- onshore facilities
Operators:
Royal Dutch Shell Plc (Shell): Operator
Philippine National Oil Co. (PNOC)