Chan May LNG JSC, which has American and Vietnamese investors, will develop and operate a power plant in Hue, with a generation capacity of 4,000 MW. It will consist of a liquefied natural gas (LNG) port for loading and off-loading, an on-shore LNG terminal, and a storage plant.
Due to rapid economic growth, Vietnam’s power demand has risen significantly. Resolving future power shortages is a top priority for the Vietnamese government. Under the revised National Power Plan VII, the Vietnamese government wants to meet the annual power demand growth of 10% by stepping up its power generation capacity to 95,500 MW by 2025 and 129,000 MW by 2030 through projects like Chan May LNG.
The project consists of two phases. The first 2,400 MW phase is scheduled to be completed and delivered in 2024. The second of 1,600 MW is scheduled to be completed in 2028. It is expected that 3.5 billion cubic meters of gas per year will be imported from the US for the plant operation.
Currently, the United States is the world’s largest producer of natural gas, and while most of the natural gas is delivered in its gaseous form via pipelines in the US, the growth in the international market has given rise to the use of natural gas in its liquefied form. US LNG has been delivered to 27 countries on five continents, including Vietnam.
(Source: Nhipcaudautu; Vietnam Investment Review)