Permitting advances for new Panama LNG project

Panama’s government has accepted for review Sinolam Smarter Energy LNG Power’s EIS for the operation of the floating storage unit (FSU) for the LNG terminal as part of the company’s 441MW Gas to Power Panama (GTPP) project.

GTPP would be the country’s second such undertaking, after AES Colón brought online an LNG reception terminal and associated 381MW gas-fired plant in 2018.

The FSU would boast four cryogenic tanks for a combined 150,000m3 of LNG which would arrive on tankers with maximum capacity of 177,000m3, according to the EIS filed with the environment ministry.

The value of the FSU contract over 10 years of operation is US$240mn and Sinolam expects that the FSU will receive an average seven tankers per year.

GTPP is planned for the Parque Energético Río Alejandro in the area of Puerto Pilón, Colón province, with operations startup penciled in for November 30 this year, although Sinolam has requested an extension.

Another gas to power developer is Panamá NG Power with its 671WM Telfers project which is in final design and pending financial close.

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