PTT is seeking to amend its sale and purchase agreement with Qatar Gas Operating to purchase liquefied natural gas (LNG) in an on-the-spot basis to take advantage of the recent decline in global prices.
Currently, the 1-million tonne purchase per annum is on a long-term contract basis.
Permsak Shevawattananon, senior executive vice president of PTT, said the agency needed permission from the National Energy Policy Committee to amend the memorandum of understanding.
The current spot price of LNG is 20 per cent lower than the contracted basis price on average, according to one PTT official.
Permsak said PTT expects the LNG to be delivered mid next year, once its terminal to accommodate 5 million tonnes of the gas is complete. A port will also be built to accommodate LNG vessels that can load 125,000 to 264,000 cubic metres of gas. The entire facility will cost around Bt32 billion.
He said the investment would ensure national power security.
Permsak added that under the on-the-spot basis, the company would buy LNG when the price is low and stock up for use when the price rises. PTT will also seek partners to diversify investment risks.
In a separate matter, PTT yesterday signed a memorandum of understanding with Universal Adsorbents and Chemicals in a joint project to develop biogas from animal dung in Chiang Mai.
Universal will turn biogas processed from pig dung, taken from Mongkol and Sun Farm in Chiang Mai, into compressed biomethane, which can then be used as fuel for vehicles.
PTT will buy all its compressed biomethane gas from Universal and distribute it commercially through its NGV stations in remote areas. Universal has the capacity to produce 6.5 million tonnes of compressed biomethane gas per day, which can replace the use of 6,400 litres of diesel or 5,000 kilograms of LPG per day.