Shell Considers Building LNG Import Terminal in Philippines

  • June 21, 2013, 3:44 a.m. ET, By Cris Larano

MANILA–Royal Dutch Shell PLC (RDSA.LN) is considering building the Philippines’ first liquefied natural gas import terminal, Shell International’s vice president for Global LNG Roger Bounds told a news briefing Friday.

If the company goes ahead with the project, the terminal will be a floating facility near Shell’s refinery in Batangas, a province just south of Manila, Mr. Bounds said.

He didn’t provide details of the feasibility study or the investment required for the project. He said a decision to pursue the project will be made within the next 12 months.

Aside from the oil refinery–one of only two operating in the Philippines, Shell also owns the landing terminal of the natural gas from the Malampaya field, which started commercial operation in 2002. Natural gas from Malampaya, which is transported via a 500-kilometer submarine pipeline to Batangas, is used to fuel three power plants that together could generate 2,700 megawatts. Shell plans to invest $1 billion to extend the life of Malampaya to 2039 from the current projection of 2024.

The Department of Energy wanted an LNG facility to diversify the source of energy in the country, whose base load capacity is primarily fueled by coal.

Write to Cris Larano at


About artidj

I started working as a field engineer in Oil & Gas industry back in 1996. I do this news clipping of the industry and the geography I am interested in, mainly for my own information. I'm glad you find it useful.
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