First Gen’s Interim Offshore LNG Terminal project in the Philippines has been delayed and the company has asked BW Gas to delay the delivery of the floating storage and regasification unit (FSRU) BW Paris from Q1 2023 to end of Q2 or early Q3 2023.
In a stock exchange filing, First Gen said it had requested the Department of Energy to extend the validity of its Permit to Construct, Expand, Rehabilitate and Modify (PCERM) for its LNG import project from September 23, 2022 to March 23, 2023, in accordance with the provisions of the Philippine Downstream Natural Gas Regulations (PDNGR).
“The request is due to projected delay in the completion of the project caused by events and circumstances not within the reasonable control of FGEN LNG,” said First Gen.
First Gen is developing the project to accelerate its ability to introduce liquefied natural gas (LNG) to the Philippines, to serve the natural gas requirements of existing and future gas-fired power plants of third parties and First Gen LNG affiliates.
First Gen believes the LNG import terminal will play a critical role in ensuring the energy security of the Luzon grid and the Philippines, particularly as the indigenous Malampaya natural gas resource is expected to decline in the next few years.