Jovo Group Company Ltd. (Jovo), the first private company to import liquefied natural gas (LNG) into China, is planning to make the Subic Bay Free port Zone (SBFZ or Subic Bay), located in Zambales, Philippines as the new hub for its new shipping operations in the region, according to the Subic Bay Metropolitan Authority (SBMA).
The SBMA said in a statement that Jovo was set to start its ship-to-ship (STS) transfer operations, which would involve carrying LNG via an oil tanker before being transferred to smaller vessels bound for China. Depth issues make the ports in China unable to accommodate bulk carriers.
The LNG would be brought to Subic from Australia and Indonesia via a 94,000-ton bulk carrier and would then be transferred to a smaller 47,000-tonnage capacity ship bound for China, said Jovo International Business general manager Yuan Lu.
According to Lu, Jovo operations would then be assessed after five years, the results of which would determine if a regional hub should be established to accommodate the delivery of LNG to local markets and the rest of Southeast Asia.
He said Jovo’s long-term plan was to introduce the LNG to local markets in the Philippines, especially those in the transport sector as this kind of fuel is safe and environment-friendly.
The firm said it has decades of comprehensive experience in clean energy shipping, storage, processing and sales with zero accidents.
Jovo recently held a consultation with stakeholders in Subic.