McDermott to build second LNG tank for AG&P Philippines terminal

U.S. offshore engineering and construction services player McDermott International has been awarded an EPC contract for the second LNG storage tank and double-wall bullet for AG&P’s Philippines LNG import and regasification terminal.

Image courtesy of McDermott

McDermott said on Wednesday that the deal was awarded by Atlantic Gulf and Pacific Company of Manila to the U.S. firm’s CB&I Storage Solutions business. It is worth noting that the LNG terminal is the Philippines LNG (PLNG) in Batangas Bay, Philippines.

Roeland Uytdewilligen, project director of AG&P, said: “It has been a privilege to work in close coordination with CB&I Storage Solutions on the unique design of the first full containment steel LNG tank.

They continue to be our preferred partner for the development of the second LNG storage tank for our Philippines LNG facility, the first LNG import and regasification terminal in the country“.

Philippines LNG (Courtesy of McDermott)

CB&I Storage Solutions was awarded the contract for the first LNG storage tank by AG&P earlier this year, more precisely in April 2021.

The additional scope includes a 1,200 cubic-meter shop-fabricated double-wall LNG bullet and a second 60,000 cubic-meter full containment steel LNG tank along with geotechnical investigation, soil improvement, foundation and topside platform structure, pre-commissioning, purging and commissioning activities.

Cesar Canals, senior vice president of CB&I Storage Solutions, said: “We value the confidence that AG&P has in our organization to award us this additional scope of work. Our fabrication facility in Thailand specializes in the production of prefabricated storage solutions and will build the LNG bullet for delivery to Batangas.

We believe there’s no better team in the world with the experience, expertise and local resources to execute this high-profile project“.

McDermott added that mechanical completion was slated for the first quarter of 2022 for the LNG bullet and the second quarter of 2024 for the second tank with purging and commissioning activities to follow.