Exxon and JERA to make LNG power stations in Vietnam

On Wednesday, Exxon Mobil Corp (XOM.N) announced that it partnered with Japan’s largest power generation company JERA.

The American multinational oil and gas corporation said that it agreed to create a power station and import facilities for liquefied natural gas (LNG). Exxon said that the LNG would be used to fuel the Vietnamese city of Hai Phong.

“Haiphong is industrializing at a fast pace, with an annual growth rate of over 20 percent. Therefore, our annual power consumption is growing and is expected to double between 2020 and 2030,” Hai Phong People Committee’s Chairman Nguyen Van Tung said in a statement.

Both companies stated that they had signed an agreement with the approval of the Hai Phong industrial center’s authorities to start making the so-called LNG-to-power project.

JERA is the world’s largest individual buyer of LNG. The Tokyo-based energy company was owned by Tokyo Electric Power (9501.T) and Chubu Electric Power (9502.T).