Thailand - EGAT and PTT form LNG JV

State-run Electricity Generating Authority of Thailand (EGAT) and PTT have formed a joint venture to co-invest in a second liquefied natural gas (LNG) receiving terminal project in Rayong. PTT has already started construction of the facility, called LNG Map Ta Phut Terminal 2 or LMPT2, and is targeted to commence operation this year, according to reports. The project cost is about Bt41.4bn (US$1.28bn) and EGAT is expected to contribute about Bt20bn. LMPT2 is designed to have a capacity of 7.5m tonnes a year, and together with the first receiving terminal the combined capacity will be 19mtpa. The Rayong facilities are part of the government’s aim to develop a regional LNG trade hub. The co-development of LMPT2 is understood to be based on a decision by the National Energy Policy Council (NEPC) to have EGAT and PTT serve as key agencies to drive the government's regional LNG hub plan. EGAT had previously planned to develop a floating storage regasification unit (FSRU) in the upper part of the Gulf of Thailand but NEPC reportedly advised EGAT to invest in LMPT2 instead.