PTT eyeing extra license
An aerial view of PTT’s LNG terminal in Map Ta Phut, Rayong province.
Nationwide oil and gasoline conglomerate PTT Plc is asking the Vitality Regulatory Fee (ERC) to think about granting it a second license to ship liquefied pure gasoline (LNG) in a bid to drive the plan for the State aiming to make Thailand a regional LNG buying and selling heart.
The corporate, which lately submitted an software to the ERC, plans to make use of the brand new license by its subsidiary PTT International LNG Co (PTTGL), a three way partnership with PTT Exploration and Manufacturing Plc (PTTEP).
Wuttikorn Stithit, senior govt vp of gasoline operations at PTT, mentioned the second license will permit PTT to commerce extra gasoline along with the gasoline gross sales agreements it has entered into with mounted quantity patrons.
Many of the patrons are operators of huge energy vegetation, together with the Thai Energy Era Authority (Egat), impartial energy producers and small energy producers.
A Thai legislation bans gasoline exports, which is why PTT has been conducting a trial since 2019 based mostly on plans to import LNG for re-export to a sandbox overseen by the ERC. The trial ends this yr.
Mr Wuttikorn mentioned PTT selected PTTEP because the subsidiary’s shareholder as a result of PTTEP deliberate to completely combine intermediate gasoline provide chains and in addition wished to extend gasoline manufacturing in the long run.
PTT has been making ready for the regional LNG commerce coverage since 2017 by creating PTTGL.
The registered capital of PTTGL is 8 million baht.
Egat additionally obtained an LNG transport license from ERC in 2019. It is able to enter the LNG enterprise after its business trial ended final yr.
Ranee Kositvanich, deputy governor of Egat, mentioned the group is awaiting a clearer coverage from the gasoline authorities, who’re conducting a feasibility research on the second part of the LNG commerce.
The second part goals to permit the free commerce of LNG within the area, after a primary part centered on gasoline provide for nationwide vitality safety.
This yr Egat plans to import 1.9 million tonnes of LNG and 1.8 million tonnes subsequent yr.
In one other improvement, PTT is discussing with gasoline producers within the Gulf of Thailand the potential of rising their gasoline provide to the nation with a purpose to keep away from gasoline shortages if PTT can’t begin operations within the gasoline discipline of Thailand. ‘Erawan.
PTT can’t entry the world to put in manufacturing services following a authorized dispute between the Mineral Fuels Division and the US firm Chevron Corp over the prices of decommissioning the transferable belongings as a result of the working concession of Chevron in Erawan will expire in April 2022.