HomeNewsThailand's B.Grimm Power seeks short- and long-term LNG supply

Thailand's B.Grimm Power seeks short- and long-term LNG supply

10/22/2024

Thailand power firm B.Grimm Power is seeking five to seven liquefied natural gas (LNG) cargoes for delivery in 2025 and 2026, a company executive said at the Asia Gas Markets conference on Tuesday.

Andrew Kirk, head of LNG business at B.Grimm Power, said the company will seek up to 1 MMt of LNG supply in a long-term deal after these initial short-term cargoes.

"We see our business supplying to our own demand reaching probably about 1 MMtpy by 2028," he said, referring to the company's gas-fired power plants.

B.Grimm was allocated an LNG import quota of 1.2 metric MMtpy by Thailand's Energy Regulatory Commission. It received its first spot cargo in August, and earlier this month tendered for its third spot cargo for delivery in December.

Reuters could not determine the details about B.Grimm's second imported cargo.

Kirk said that Thailand's LNG imports will increase in the coming years, as coal is phased out and domestic gas production declines.

"The demand in Southeast Asia is going to be huge as people move away from coal and as domestic production declines, as in the case of Thailand, you're going to see more LNG imports," he said. "The gulf of Thailand is an incredibly mature basin, the gas that comes in from Myanmar is in decline, and will probably finish by 2028–2029, so the demand for LNG is going to increase."

Thailand is Southeast Asia's largest LNG importer. The country imported 11.69 MMt of the fuel last year, according to data from analytics firm Kpler. It shipped in 10.18 MMt of LNG so far this year.

 

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