Gas Processing & LNG is Produced by Gulf Publishing Holdings LLC

Taipower expects to start LNG imports from 2023

SINGAPORE (Reuters) - State-owned utility Taiwan Power Company (Taipower) expects to start its first imports of liquefied natural gas (LNG) from 2023 and has signed two non-binding deals to buy the super-chilled fuel, a senior company executive said.

The company expects to convert the deals into binding sales and purchase agreements by the end of this year, said Albert Jen, deputy director of Taipower’s department of fuels.

Taipower’s first imports would mean that state-run CPC Corporation would lose its status as Taiwan’s sole LNG importer. Taipower, which consumes about two-thirds of the LNG imported by the island, first obtained government permission to source the fuel from international markets in 2014.

The new fuel supply will feed into Taipower’s planned gas-fired power plant at Taichung, where the first unit is expected to be ready by September 2023, according to Jen’s presentation during the LNGA 2019 conference in Singapore.

Jen declined to identify the potential LNG sellers, saying that the deals were confidential.

The company currently operates five gas-fired power plants with a total 11,364 MW in capacity. Its consumption of natural gas has more than doubled from 2009, Jen said.

Last year, Taipower generated electricity using a mix of nearly 40 percent natural gas, nearly 40 percent coal and the rest based on nuclear, oil and renewable fuels, he said.

The utility also plans to add Hsieh-Ho power plant by 2025 or 2026 and expects to issue a request for proposal, or a solicitation of bids, by the end of March for the supply of LNG and a floating storage and regasification unit (FSRU).

Feasibility studies for the Taichung and Hsieh-Ho power plants have been approved.

Reporting by Jessica Jaganathan; Editing by Tom Hogue

Copyright © 2018. All market data is provided by Barchart Solutions. Futures: at least a 10 minute delay. Information is provided 'as is' and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.

                                  CMEGroup                                     Icelogo


Editorial Comment
-Adrienne Blume
This year could be the largest ever for LNG export project final investment decisions (FIDs).
EWAnalysis: Impact of technology on gas transmission management—Part 2
-Bob Andrew
This article is the second in our “Impact of Technology” series; the first was “Impact of technology in gas processing plants—Part 1,” which appeared in the October/November 2018 issue of Gas Processing & LNG.

GasPro 2.0: A Webcast Symposium

View On-Demand

The global LNG industry is becoming increasingly interconnected as grassroots export projects get off the ground. Another technology route for processing gas into fuels—GTL—is attracting renewed attention due to improving economics. Small-scale solutions for both LNG and GTL are at the forefront of new technological developments, while major projects using more conventional technologies continue to start up around the world.

During this webcast, we will focus on LNG, GTL, gas processing technology developments and deployments, operations, small-scale solutions, transportation, trading, distribution, safety, regulatory affairs, business analysis and more.

October 25, 2018 08:30 AM CDT

View On-Demand


Please read our Term and Conditions, Cookies Policy, and Privacy Policy before using the site. All material subject to strictly enforced copyright laws.
© 2019 Gulf Publishing Holdings LLC.