MOU with PetroVietnam Gas signed

AGDC’s consistent commercial efforts resulted in an agreement being reached in November with PetroVietnam Gas (PVGAS). The Memorandum of Understanding spells out the principles under which AGDC will collaborate with PVGAS to provide LNG supply and to evaluate the possibility of resource investment in Alaska.

Signed in Hanoi, Vietnam on November 12, 2017, by executives of AGDC and PVGAS, the event was witnessed by U.S. President Donald Trump and Vietnam President Tran Dai Quang.

A state-owned subsidiary of PetroVietnam, PVGAS is developing LNG receiving and regasification terminals in Vietnam, in order to supply natural gas to newly built power plants as well as proposed power facilities.

Alaska’s proximity to the region, along with the known, stranded gas reserves in the state, are a positive feature for countries seeking clean, reliable and stably priced sources of LNG.

“The agreement with PVGAS fits very well with AGDC’s broader marketing program and recently announced deal with Sinopec, which leaves a portion of the Alaska LNG system capacity with AGDC for sale to regional Asian markets such as Vietnam,” said Keith Meyer, president, AGDC. “Vietnam is a new entrant to the LNG industry but has the potential to be a rapidly growing customer of LNG, and we look forward to participating in the growth of the Vietnamese economy by providing a reliable and stable natural gas supply.”

“Alaska’s market proximity and enormous resource base present an attractive opportunity for PVGAS to provide stable and secure gas supply to Vietnamese industrial users and citizens, and upstream investment opportunities for a bright, long-term future,” said Mr. Duong Manh Son, president and CEO, PVGAS.