First Gen Signs LNG Cargo Deal with TG Global Trading Co., Ltd. Following Tender Success

First Gen Corporation (FGEN) has finalized its international tender for a liquefied natural gas (LNG) cargo by awarding a contract to TG Global Trading Co., Ltd. (Tokyo Gas). Tokyo Gas will provide one LNG cargo of about 125,000 cubic meters, scheduled for delivery in July 2024 on a Delivered Ex Ship (DES) basis to FGEN's wholly-owned subsidiary, First Gen Singapore Pte. Ltd.

The LNG shipment from Tokyo Gas will be transported via an LNG carrier and transferred to the storage tanks of the BW Batangas floating storage and regasification unit (FSRU) currently docked at the First Gen Clean Energy Complex (FGCEC) in Batangas City. This LNG will support the operations of FGEN's existing gas-fired power plants also situated within the FGCEC.

FGEN operates four gas-fired power plants with a total capacity of 2,017 MW that have historically been supplied with gas from the indigenous offshore Malampaya field. FGEN LNG Corporation has completed its Interim Offshore LNG Terminal and secured a 5-year Time Charter Party for the BW Batangas, which will handle LNG storage and regasification operations. The FGEN LNG Terminal seeks to accelerate the adoption of LNG in the Philippines, fulfilling the natural gas requirements of current and upcoming gas-fired power plants owned by both external parties and FGEN affiliates. FGEN views the FGEN LNG Terminal as crucial in ensuring energy security for the Luzon Grid and the Philippines.

First Gen was established on December 22, 1998, as a subsidiary of First Philippine Holdings Corporation (FPH), a leading conglomerate in the Philippines with interests spanning power generation, distribution, infrastructure, manufacturing, and property development. While officially founded in 1998, First Gen's origins can be traced back to FPH's pioneering efforts in power development starting in 1993. During that period, FPH secured the bid to design, construct, and operate the 225-MW Bauang diesel power plant (Bauang) under a build-operate-transfer (BOT) arrangement. In October 1992, FPH, together with Manila Electric Company (Meralco), PCI Capital Corporation, and JG Summit Holdings, Inc., established First Private Power Corporation (FPPC) to support the state-owned National Power Corporation's (NPC) rapid development initiative. Subsequently, FPPC created Bauang Private Power Corporation (BPPC) to directly oversee the implementation of the Bauang power project. On July 26, 2010, following the conclusion of its BOT contract, First Gen formally transferred ownership of the Bauang power plant back to NPC. In November 1994, upon the identification of substantial reserves of native natural gas in the Malampaya offshore gas field in Palawan, FPH entered into a partnership with BG Energy Holdings, Ltd. (BGEH), a subsidiary of the BG Group. This collaboration aimed to develop natural gas initiatives in the Philippines utilizing resources from the Malampaya field.