The project is expected to be completed in 2022, with the second phase to double the capacity scheduled for completion the following year.
The LNG storage facility is part of a series of gas and power projects that include Nhon Trach 3 and Nhon Trach 4 gas-fired power plants in the Thi Vai-Nhon Trach area, said PV Gas General Director Duong Manh Son.
The total investment for the first phase is estimated at US$285 million and once completed, the facility can receive LNG shipping vessels with a capacity of up to 85,000 tonnes and provide 1.4 billion cubic metres of gas for the two power plants and other industrial customers.
Son said the Thi Vai LNG storage facility and the two Nhon Trach power plants will ensure gas and electricity demand for the south-eastern key economic zone.
Speaking at the ceremony to start its construction, National Assembly Vice Chairman Uong Chu Luu emphasised that the project is not only significant to PV Gas but also an important milestone in the implementation of the national energy development strategy.
Also at the ceremony, a credit financing agreement for the project was signed between PV Gas and domestic and foreign banks, under which the foreign loan is US$80 million while the domestic loan is VND2.1 trillion (US$90.3 million).
