DOE to take over 3000 MW LNG-to-power project in Vietnam

Delta Offshore Energy has been selected by the Bac Lieu province in Vietnam to bring the country’s 3000 MW LNG-to-power project forward. The company has signed a memorandum of understanding with the Bac Lieu Party Chairman making DOE the exclusive right to build, own and operate the proposed project in Southern Vietnam.

The memorandum was initially awarded to the Dallas-based Energy Capital Vietnam (ECV).

Delta Offshore Energy brought General Electric on as a strategic partner for the project, exclusive gas turbine supplier and the provider of technical support. GE will also assist in the financial structuring of the project.

The company partnered with Norway’s 7 Seas to develop the LNG import terminal to provide feedstock to the gas plants.

Delta Energy Offshore has started commercial negotiations with Vietnam’s national utility company EVN for a twenty-year LNG supply contract to backstop the electricity power purchase deal.

The power station will be commissioned in phases - the first 1 GW phase will start operations in 2021 with phases 2 and 3 adding a further 1 GW and 1.2 GW respectively by 2026. At full capacity, the project will be importing approximately US$1 billion worth of LNG on an annual basis.