Wednesday, August 15, 2007 Shell to set up CNG facility next month
ENERGY Secretary Angelo Reyes has announced that Pilipinas Shell Petroleum Corp. (PSPC) will start the establishment of a compressed natural gas (CNG) facility in September.
“I earlier spoke with Shell country chairman Ed Chua, who expressed Shell’s commitment that the CNG station will be up by the end of September,” Reyes told reporters.
Reyes said the project, which costs between P900 million and P1 billion, is expected to attract US$5 billion investments in the natural gas sector.
“We really must explore and exploit the use of natural gas because as we have discovered it already in Malampaya, which is giving us good results by generating 2,700 megawatts,” Reyes said.
Reyes said 2009 would be a critical year for Visayas and Mindanao because the demand for electricity then would be much greater while a power crisis may happen in 2010 or 2011 in Luzon unless steps are taken to meet those demands.
He also said the government plans to trim down its dependence on imported oil by turning to natural gas, renewable sources of energy, bio-fuel, and nuclear energy.
At least US$5 billion would be needed to develop potential natural gas reserves, install gas-fired power plants, and connect the Philippines to the proposed Trans Asean (Association of Southeast Asian Nations) Gas Pipeline System, he added. (MSN/Sunnex)
