U.S. Energy Firm Proposes Vietnam as ASEAN LNG Distribution Hub

At a meeting held at the Government Office, Prime Minister Pham Minh Chinh welcomed Mr. Kobos and his delegation, commending Excelerate Energy’s efforts to enhance cooperation with Vietnamese partners. The Prime Minister emphasized that this initiative holds both political and economic significance, contributing to balanced and sustainable trade relations between Vietnam and the United States.

Prime Minister Pham Minh Chinh received the President and CEO of Excelerate Energy (USA), Steven Kobos, May 29, 2025. Photo: VGP/Nhat Bac.

Mr. Kobos thanked the Prime Minister for the warm reception and acknowledged Vietnam’s proactive engagement in bilateral trade promotion. He highlighted Excelerate Energy’s global presence operating in over 60 countries and noted that the company transports LNG volumes equal to one-sixth of total U.S. exports daily.

Excelerate Energy recently signed an agreement with PetroVietnam Gas Joint Stock Corporation (PV GAS) to supply LNG from the United States to Vietnam on a long-term basis. Mr. Kobos proposed that the Vietnamese Government facilitate infrastructure development, ensure LNG supply security, and support the establishment of a joint venture aimed at expanding Vietnam’s role as a regional distribution hub.

Prime Minister Pham Minh Chinh welcomed the signing of the Memorandum of Understanding (MoU) between Excelerate Energy and PV GAS, urging both parties to ensure the effective and substantial implementation of the agreement.

The Prime Minister expressed his support for Excelerate Energy’s vision and encouraged the company to continue deepening cooperation with Vietnamese enterprises. He emphasized the importance of technological solutions and long-term LNG supply commitments in promoting regional energy security and strengthening Vietnam–U.S. trade relations.

Vietnam, he affirmed, is committed to rapid yet sustainable economic growth, pursuing social progress, equity, and environmental protection in tandem with development. The country plans to develop LNG storage and distribution infrastructure not only to meet domestic demand but also to supply LNG to ASEAN nations, including for regional power generation.

During the recent 46th ASEAN Summit in Malaysia, Prime Minister Pham Minh Chinh, alongside the Prime Ministers of Singapore and Malaysia, witnessed the signing of a trilateral cooperation agreement to export clean electricity from Vietnam and develop an integrated ASEAN power grid. This reflects ASEAN’s growing role as a key economic growth engine globally.

Looking ahead, the Prime Minister expressed hope that Excelerate Energy would expand its LNG supply chain and work with local partners to invest in smart, modern LNG storage facilities, beginning this year or in 2026. He encouraged technology transfer and knowledge sharing to improve operational efficiency and support Vietnam’s emissions reduction goals in LNG transportation and usage.

He reaffirmed that the Vietnamese Government remains committed to fostering a transparent, lawful, and efficient business environment. The Government, he said, values constructive feedback and strives to strengthen cooperation with all international partners.

Earlier, from May 19 to 22, 2025, in Washington, D.C., Minister of Industry and Trade Nguyen Hong Dien met with Excelerate Energy’s leadership during the second round of negotiations on the Vietnam–U.S. Bilateral Agreement on Countertrade. At the meeting, Excelerate Energy outlined three key areas of cooperation:

1. Investment in LNG infrastructure.

2. Ensuring a stable and reliable LNG supply.

3. Establishing a joint venture with Vietnamese partners to expand regional market presence.

According to Vietnam Energy Review, PV GAS’s LNG import agreements with the U.S. will help meet Vietnam’s national LNG import targets 9 million tons per year by 2030, increasing to 15 million tons by 2035 in line with the Power Development Plan VIII, which is estimated to generate approximately USD 7.2 billion in annual value.

In addition, PetroVietnam Technical Services Corporation (PTSC) signed a Strategic Partnership Agreement with Excelerate Energy at the end of last year to jointly develop Floating Storage and Regasification Unit (FSRU) projects in Vietnam. With its advanced technology and extensive FSRU experience, Excelerate will support PTSC in ensuring safe and efficient project implementation.

FSRU technology offers numerous benefits, including low capital investment, high flexibility, and fast deployment, typically within one to three years. These features make it particularly suitable for emerging LNG markets such as Vietnam.

In the context of Vietnam’s growing energy demand, FSRU presents a prominent solution for LNG storage and regasification. It enables greater flexibility in natural gas supply and makes a significant contribution to the country’s transition toward cleaner energy sources.

Headquartered in Texas, USA, Excelerate Energy provides integrated solutions across the entire LNG value chain for its customers. Specifically, the company offers flexible regasification services, ranging from FSRU (Floating Storage and Regasification Unit) operations to infrastructure development and LNG supply. Excelerate Energy maintains offices in Abu Dhabi, Antwerp, Boston, Buenos Aires, Chattogram, Dhaka, Doha, Dubai, Helsinki, London, Manila, Rio de Janeiro, Singapore, and Washington, D.C.