Regional LNG: First Gen completes new LNG cargo delivery

First Gen Corporation (FGEN), a leading public energy company based in the Philippines, has received its fifth shipment of liquefied natural gas (LNG) from Singapore-based Shell Eastern Trading Pte. Ltd.

First Gen's Chief Revenue Officer, Vincent Villegas, was quoted by Philstar.com on Wednesday, November 20, stating that the 154,500-cubic-meter LNG cargo, which could be the company’s final order for the year, was delivered last month. The shipment was loaded into the storage tanks of the BW Batangas floating storage and regasification unit (FSRU), a specialized vessel used to import, store, and regasify LNG.

Villegas explained that the LNG supply would be used to fuel the company’s four gas-fired power plants located at the First Gen Clean Energy Complex. "What we do is provide or complement the supply of Malampaya," he added.

Read also: Regional LNG: First Gen Corp announces tender for LNG supply

For several years, First Gen’s power plants, with a combined capacity of over 2,000 megawatts, have relied on gas from the Malampaya deep-water gas-to-power project, which is operated by Razon-led Prime Energy Resources Development and its partners. Malampaya is the country’s first and only indigenous gas resource, located offshore Palawan.

First Gen’s LNG deliveries began in August 2023 with its first shipment to Subic, followed by deliveries to its Batangas complex in December 2023, February 2024, and May 2024. Currently, the company secures its LNG requirements through spot purchases.

However, First Gen Chairman and CEO Federico Lopez emphasized that the Philippines would benefit most from LNG through long-term contracts.

Editing by Reiner Simanjuntak