Lopez-owned FIRST Gen Corp. awards LNG supply contract to CNOOC

Lopez-owned FIRST Gen Corp. has awarded a contract to CNOOC Gas and Power Trading & Marketing Limited (CNOOC), an affiliate of China's largest offshore oil and gas producer, for the supply of liquefied natural gas (LNG) cargo to one of its subsidiaries.

In a stock exchange report on Monday, FGEN said it concluded its international tender for an LNG cargo shipment by awarding a contract to CNOOC—marking the fifth tender and fourth delivery.

CNOOC will deliver the LNG cargo with 130,000 cubic meters of supply next month on a Delivered Ex Ship (DES) basis to FGEN's wholly-owned subsidiary, First Gen Singapore Pte. Ltd (FGEN Singapore).

The LNG cargo to be provided by CNOOC will be delivered by an LNG carrier, which will be unloaded into the storage tanks of the BW Batangas FSRU that is currently berthed at the First Gen Clean Energy Complex (FGCEC) in Batangas City.

The LNG will be used by FGEN's existing gas-fired power plants, which are also located in the FGCEC.

FGEN has a portfolio of four existing gas-fired power plants with a combined capacity of 2,017 MW that have been supplied for many years with gas from the Malampaya field, an indigenous offshore gas field.

FGEN LNG Corp. has constructed its Interim Offshore LNG Terminal Project and executed a five-year Time Charter Party for the charter of the BW Batangas, which will provide LNG storage and regasification services as part of the project.

FGEN said that the FGEN LNG Terminal will be instrumental in ensuring the country's energy security.

As outlined in the Philippine Energy Plan, LNG is crucial for the country's energy sustainability and security. It plays an important role in boosting natural gas share in the power generation mix to 26 percent by 2040.

LNG offers significant environmental advantages over traditional fossil fuels as it reduces greenhouse gas emissions, combats climate change, improves air quality, and enhances public health—making it the ideal transition fuel to a renewable energy future.