Myanmar LNG-to-power project takes FSU delivery

A joint venture between Hong Kong-listed VPower Group and China National Technical Import & Export Corp. (CNTIC VPower) has taken delivery from Synergy Marine Group of natural gas floating storage unit (FSU) CNTIC VPower Energy as part of an LNG-to-power project in Myanmar. The 126,000-cu m former LNG carrier Northwest Seaeagle will be maintained and operated as an FSU by Synergy for an anticipated 15-year term. 

The FSU will be moored permanently and used to receive and store LNG imports for delivery on demand to an onshore regasification terminal which will supply gas to local powerplants. It was designed to offload LNG to the regasification plant at rates of up to 350 cu m/hr during peak demand. The flow rate can be adjusted to as little as 150 cu m/hr during nonpeak periods.  

Four feed pumps added to each of the vessel’s cargo tanks allow them to hold boil-off gas for longer, according to Synergy. Increased tank pressure of up to 0.7 bar allows the FSU to simultaneously feed LNG to the regasification plant and offload LNG to another smaller vessel for shipment further into Myanmar, the company said.

Myanmar’s first LNG import terminal, operated by CNTIC VPower, started up in May 2020 near Yangon. The terminal began operations using an offshore FSU to store imported LNG. Because of the shallow depth of the Yangon River, only small-scale LNG vessels can move along it. The regasification terminal had been using a temporary jetty at Thilawa port designed for these small-scale vessels. A permanent jetty big enough to accommodate a full-size FSU was expected to enter service July 2020, according to the US Energy Information Administration (EIA). A second FSU was to be moored at the mouth of the Yangon River, small-scale LNG vessels shuttling between the two.

CNTIC VPower’s plants near Yangon include Thaketa (475 Mw), Thanlyin (350 Mw), and Thilawa (1,250 Mw). The Thaketa and Thanlyin plants entered service this summer. The Thilawa power plant is in planning and is expected to come online by 2024. If the three plants run at a 45–55% annual capacity factor, they will require between 160 MMcfd and 200 MMcfd of natural gas, about 21 to 26 LNG cargoes per year, according to the EIA.

The JV is also building the Rakhine LNG import terminal on Myanmar’s northern coastline. It will supply the 150-Mw Kyaukpyu natural gas-fired power plant (150 MW capacity), expected to come online by end-2020.