ExxonMobil advancing integrated gas-for-power development in Vietnam

ExxonMobil, with joint venture partners PetroVietnam and PetroVietnam Exploration Production Corporation, is advancing plans for a multi-billion dollar integrated gas-for-power development in central Vietnam. The proposed project will provide cleaner, reliable power and stimulate economic growth and improved living standards. A final investment decision (FID) is targeted in 2020.

The project will produce and treat natural gas from the Ca Voi Xanh field, located offshore Vietnam in block 118. It will comprise an offshore platform, a pipeline to transport the gas to shore, an onshore gas treatment plant and pipelines that feed gas to third-party power plants to generate electricity locally.

‘The Ca Voi Xanh project could bring a number of long-term benefits to the country, including cleaner, reliable power to help drive economic growth and improved living standards,’ says Liam Mallon, President of ExxonMobil Development Company. ‘If the project goes forward, it is estimated to generate $20bn in revenue to the Vietnamese government, thousands of local jobs and improved energy security from domestic gas development.’

Vietnam Electricity, PetroVietnam and Sembcorp are in discussions to build and operate the power plants. The proposed base development is expected to generate 3 GW of power, equivalent to about 10% of Vietnam’s current total power demand.