ExxonMobil and JERA sign MoU for LNG project in Vietnam

ExxonMobil and Japan power generation company JERA have signed a Memorandum of Understanding (MOU) with the government to work together on a potential integrated LNG to Power project in Hai Phong.

ExxonMobil, the Hai Phong city government and JERA have agreed to expand on their strong cooperation and exchange of expertise to jointly study natural gas market development opportunities, including LNG import facilities and gas-fired power plants.

ExxonMobil has submitted a master plan application with a project concept for consideration and potential inclusion in Vietnam’s National Power Development Plan (PDP). Hai Phong City has submitted a letter of recommendation to include power demand with potential locations of power plants and LNG import infrastructure. The project submissions are pending government approvals.

LNG-fueled power in Hai Phong will provide a more environmentally friendly alternative to the currently proposed coal projects in the master plan.

“Hai Phong is industrialising at a fast pace, with an annual growth rate of over 20 per cent. Therefore, our annual power consumption is growing and is expected to double between 2020 and 2030,” said Nguyen Van Tung, Chairman, Hai Phong People's Committee. “Hai Phong City is pleased to collaborate with ExxonMobil and JERA to provide a clean energy resource for Vietnam in Hai Phong City.”

“ExxonMobil is honoured to work with JERA and Hai Phong City to explore innovative approaches to bring about competitive LNG-to-power projects in Vietnam,” said ExxonMobil Hai Phong Energy director Irtiza Sayyed. “As a gas industry leader with strategic access to LNG supplies around the world, ExxonMobil is well-positioned to supply cleaner, reliable energy to power Vietnam’s future.”

“JERA is extremely pleased to participate in the Hai Phong project being developed by ExxonMobil and we are eager to utilise our expertise in the entire LNG value chain for successful project implementation. We have more than 50 years of experience as the world’s first utility who introduced LNG to the power industry,” said JERA’s managing executive officer and senior operating officer James H. Vigil.