Bangkok: PTT Public Company Limited is accelerating its efforts in LNG and CCS trading as part of Thailand's commitment to achieving Net Zero emissions by 2050. The company is urging the government to fast-track the deregulation process to facilitate these advancements.
According to Thai News Agency, Dr. Kongkrapan Intarajong, CEO and President of PTT, emphasized the company's strategy to ensure a sustainable energy transition that balances energy security with a reduction in greenhouse gases. PTT's infrastructure enhancements aim to position Thailand as a regional LNG hub and a global LNG player. By 2035, the company plans to expand its LNG supply and trading portfolio to 15 million tons annually to meet the rising domestic demand and compensate for the declining gas reserves in the Gulf of Thailand.
PTT's strategy involves significant investments and trading contracts to build a large-scale LNG supply and trading portfolio. This includes expanding the trading base globally, diversifying the customer base, and enhancing portfolio management flexibility by accessing producers and shipping markets directly. These initiatives are expected to open new business opportunities and establish Thailand as a regional LNG trading hub.
The company is also advancing its Carbon Capture and Storage (CCS) projects, which are vital to Thailand's net-zero carbon footprint goal by 2050. PTT has initiated a pilot CCS project at the Arthit gas field, with plans to expand to an Eastern Thailand CCS Hub. This hub will capture and store carbon dioxide from industrial sectors, with potential storage capacities ranging from 5-10 million tons per year.
PTT is calling for urgent policy reforms, including incentive mechanisms like tax breaks or subsidies, and crucial legal frameworks, particularly related to exploration permits. Many countries, including the US, Europe, Malaysia, and recently Singapore, have started CCS projects. Singapore, in particular, is interested in partnering with Thailand for CCS investments due to its lack of suitable land for such projects. Delays in policy reforms could result in missed opportunities for Thailand.