Thailand looks to invest in US LNG projects to secure supply

[WASHINGTON] Thailand is considering investments in US liquefied natural gas export projects, according to people familiar with the matter, as the South-east Asian importer of the fuel looks to shore up its energy security needs. 

State-owned energy giant PTT is in discussions with developers for equity and supply on a long-term basis, including with Woodside Energy Group about its Louisiana LNG facility, said the people, asking to not be identified because the matter is confidential. Talks are still in the early stages, they added.

The US is just one of the countries where PTT is looking for opportunities to expand its LNG portfolio, the company said in a statement to Bloomberg News, without elaborating. Woodside declined to comment.

Several leading Asian importers including Thailand have seen their LNG supply upended by the Iran war, which has choked off shipments from the Middle East and driven up prices. The South-east Asian nation has a long-term contract with Qatar, but has been forced to take expensive spot cargoes to meet demand.

Efforts to diversify supply away from the Middle East following the war have prompted growing interest in Woodside’s Louisiana LNG plant, chief executive officer Liz Westcott said in May. The goal for the project, which is currently under construction, is to begin shipments in 2029.

Separately, the Thai government is planning to accelerate investments in LNG import infrastructure, with the construction of new data centres expected to significantly increase electricity demand, Prasert Sinsukprasert, the permanent secretary of the energy ministry, told reporters earlier in June. BLOOMBERG