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Thailand’s PTT, local natural gas firm join forcesto promote LNG

Content image - Phnom Penh Post
A PTT filling station near the Kbal Thnal Skybridge in the capital’s Meanchey district last April. Hong Menea

Thailand’s PTT, local natural gas firm join forcesto promote LNG

Thai state-run energy giant PTT Pcl and Cambodia Natural Gas Corp Ltd (CNGC) are working together to promote investment in the Cambodian liquefied natural gas (LNG) sector, as an alternative, more environmentally-friendly fuel that presents a host of future and long-term benefits.

LNG is a natural gas, which as CNGC describes, “is a high-quality energy source thanks to its high calorific value and stable energy supply during combustion. And because of its low carbon emission after combustion, natural gas is environmentally friendly comparing with coal and oil products such as gasoline, diesel and LPG [liquefied petroleum gas]. Natural gas is also colourless, odourless, non-toxic and non-corrosive”.

The Ministry of Mines and Energy’s General Department of Petroleum and PTT last week held a third technical working group meeting on oil and gas cooperation and its implementation, which was presided over by the department’s head Cheap Sour.

Key items on the agenda were updates on energy needs and the associated long-term plans of both countries; PTT’s operations in Cambodia, related technical regulations, and potential business partnerships here; and investment in LNG as a long-term solution, Sour told The Post.

He said both parties will “continue to cooperate well”, especially when it comes to encouraging more investment into the Cambodian LNG sector, or sharing technology experiences or knowledge in the oil industry domains.

“PTT has been investing in filling stations and Amazon cafes for a long time. In addition, it has partnered with Cambodia Natural Gas Corp, a Chinese company, to import to Cambodia, both companies are now, little by little, advancing the LNG market,” he added.

As Cambodia’s sole natural gas operator, CNGC supplies the gaseous fuels domestically. The company started importing LNG in early 2020.

Sen Nith, owner of PTT Prek Kampoes filling station in Phnom Penh’s Dangkor district, said LNG was not yet available at his facility, but indicated that a push for increased use of the natural gas would make him consider installing the required equipment to offer the fuel.

Nith affirmed that he’d like to see greater adoption of the more eco-friendly LNG, arguing that “we don’t just want to make money, but also contribute to reducing pollution”.

According to its website, “CNGC holds 30-year franchise rights of natural gas in Cambodia, including but not limited to lng10 exclusive import right, LNG terminal construction right, natural gas pipeline operation right, LNG truck transportation right, gas supply right and gas facility construction right [nationwide], gas pipeline construction right, Cambodia natural gas industry standard setting right.

“At the same time, CNGC, as an endorser of the Ministry of Energy of Cambodia, represented the Cambodian government in the Global Energy Summit and became a senior member of the [International Gas Union].

“Combined with the current situation of Cambodia’s economic development, CNGC has formulated the short-term, medium-term and long-term development goals for natural gas. The short-term goal is to use tanks to import liquid natural gas to achieve small-scale point supply of natural gas.

“The medium-term goal is to build LNG receiving terminal to realise LNG ship supply and batch energy supply. The long-term goal is to build a national pipe network and realise the closed pipe network for gas supply, which will benefit Cambodian industrial and commercial users.

“CNGC landed LNG in Cambodia at the beginning of 2020, realising the market application of LNG for the first time,” the natural gas operator said.

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