MEMORANDUM OF UNDERSTANDING SIGNED BETWEEN EPCG AND LNG ALLIANCE

Montenegro's state-owned power firm EPCG and project developer LNG Alliance are joining forces to study gas-fired power plant projects in Montenegro

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LNG Alliance Pte Ltd

Jan 02, 2022, 22:00 ET

NIKSIC, Montenegro, Jan. 2, 2022 /PRNewswire/ -- Elektroprivreda Crne Gore AD Nikšić ("EPCG") is the National Energy Company of Montenegro. The primary activities carried out by EPCG are electricity generation, electricity supply, electricity trading, construction and maintenance of electric power facilities, designing and supervision, and other activities prescribed by the Statute of EPCG.

Starting from the strategic commitment to develop green energy projects so as to ensure timely compliance with contemporary world trends in the area of energy transition, EPCG has been intensively developing partnership with credible partners, whose participation would enable implementation of all planned investment activities.

In order to maintain stability of the power system and provide reliable power supply to end customers, EPCG signed a Memorandum of Understanding (MoU) with LNG Alliance Pte Ltd on December 8, 2021. On behalf of EPCG, the MoU was signed by the CEO Mr. Nikola Rovčanin, and the CEO of LNG Alliance Dr. Muthu Chezhian.

LNG Alliance Pte Ltd, Singapore (LNG Alliance), is a company with extensive experience in development of energy projects in the industry of gas and liquefied natural gas (LNG). LNG Alliance, in its capacity of a project developer provides complete integrated solutions based on a turnkey principle - starting from defining the concept, developing and implementing the project, all the way to the ownership over tangible assets for LNG infrastructure, gas distribution and generation of electricity from gas, working with its investment and operating JV arm, Aslan Energy Capital Pte Ltd., Singapore.

The MoU has envisaged that LNG Alliance, in cooperation with EPCG, conducts detailed feasibility study and ESIA, and elaborates possible options so that, finally, the relevant technical and commercial solution can be determined in the context of considering potential construction of gas-fired power plants in Bar and Podgorica.

Once an adequate and feasible techno-commercial model be established, LNG Alliance will ensure necessary conditions for investments in development of the gas-fired power plants, which would be a matter of further discussion and planning with EPCG and other entities of Montenegro to ensure the needed LNG import infrastructure for the construction of the gas-fired power plant. Provided that the conditions for project implementation are created, the gas fuel for both plants would be procured from the dedicated import LNG terminal in the Port of Bar, the construction whereof would be entrusted to LNG Alliance. Several different options for transport of LNG/gas from Port of Bar to Podgorica will be analysed in relation to the above, including a gas pipeline. The management and operations of the gas-fired power plants would be fully entrusted to EPCG whose employees would be timely trained for this task.

"We invest into new sustainable projects and develop partnership for a greener future. We are aspiring to create clean, affordable and reliable energy security in Montenegro!" said EPCG and LNG Alliance in a collective statement, highlighting the importance of the MoU.

SOURCE LNG Alliance Pte Ltd