16OCT2019 - NEWS - Thailand Pursues LNG Trading Hub Ambitions

Thailand Energy Minister Sontirat Sontijirawong ordered state-owned oil and gas major PTT last week to accelerate its gas business so that the country can become a liquefied natural gas (LNG) trading hub in Southeast Asia.

He said the government would support PTT's gas business at the regional level and the country’s Energy Regulatory Commission (ERC) would ease related regulations for LNG import and re-export.

"PTT is capable of becoming a regional [LNG] trader because the company is heavily invested in gas infrastructure and human resources," Sontirat said.

The company is studying the feasibility of the LNG trading business, expecting to reach a conclusion in a couple of months. The business plan will be proposed to the National Energy Policy Council in December."

PTT also unveiled a plan last month to provide small-scale LNG distribution to marine vessels and heavy-duty trucks in the region, development of a gas pipeline and feeding LNG to a power generation system.

PTT also has two innovative projects for LNG distribution selected to join the ERC plan for testing before commercial adoption.

The International Gas Union defines small-scale LNG (SSLNG) as any facility with a liquefaction and regasification capacity of 0.05–1.0 million metric tons/year (mmty) and vessels with a capacity of 60,000 cubic meters or less.