AG&P Group eyes LNG-to-power, digital infra projects in New Clark City
AG&P Group Chief Executive Officer Karthik Sathyamoorthy and Bases Conversion and Development
Authority (BCDA) President and CEO Joshua M. Bingcang sign a memorandum of understanding to explore a
proposed liquefied natural gas-powered power plant and digital infrastructure in New Clark City. AG&P Senior
Vice President and Head of Commercial Ramon Wangdi, and BCDA Executive Vice President and Chief Operating
Officer Gisela Z. Kalalo serve as witnesses. BCDA photo
Singapore-based AG&P Group is exploring opportunities to support the growth of the
Luzon Economic Corridor through a proposed liquefied natural gas (LNG) corridor linking
Subic to New Clark City, as well as the development of digital infrastructure in the growing
metropolis.
On 14 October, Bases Conversion and Development Authority (BCDA) President and Chief
Executive Officer Joshua M. Bingcang and AG&P Group Chief Executive Officer Karthik
Sathyamoorthy signed a memorandum of understanding (MOU) to study the proposed
Luzon LNG Gateway, which would facilitate the seamless transport of LNG supply from
Subic to a proposed scalable power plant planned for New Clark City in Tarlac.
The agreement also covers the study of potential digital infrastructure projects to support
the needs of advanced manufacturing, artificial intelligence, and other high-value industries
expected to locate in New Clark City.
“We thank AG&P for its confidence in BCDA and its interest in exploring investments that
can support the growth of New Clark City and the Luzon Economic Corridor. Reliable
energy and strong digital infrastructure will be essential to attracting advanced industries,
creating jobs, and positioning the Philippines to take part in the next wave of growth in
manufacturing and artificial intelligence,” said Engr. Bingcang.
Sathyamoorthy, for his part, said: “For us, being part of the growth journey to attract
investments and create more job opportunities for the Philippines is something we care
deeply about. The potential value in developing an advanced manufacturing hub at New
Clark City is enormous, and this is where having a reliable energy source will be a key
factor.”
“Having AG&P develop and take that initial step would provide BCDA’s potential locators
the confidence to invest and contribute to the country’s growth vision,” he added.
Under the MOU, AG&P will study a proposed phased development plan for an LNG-fired
power plant in New Clark City, with indicative capacity targets of 100 megawatts (MW) by
2027 and 300 MW by 2029. A potential expansion to between 1 gigawatt (GW) and 3 GW
beginning in 2031 may also be assessed depending on customer demand, technical and
commercial feasibility, infrastructure availability, environmental and regulatory
requirements, and the necessary approvals.
BCDA and AG&P will also cooperate on the evaluation of the technical, commercial,
financial, environmental, and regulatory feasibility for an initial virtual pipeline, followed
by a physical pipeline, from Subic to New Clark City.
Through these initiatives, BCDA and AG&P aim to provide a reliable power supply to meet
the growing energy needs of New Clark City’s present and future locators.
Under the digital component of the MOU, both parties will also assess the feasibility of
additional digital infrastructure projects in New Clark City under a phased development
approach. This will help lay the groundwork for a trusted and resilient digital infrastructure
ecosystem that can serve the Philippines and support the growth of the Luzon Economic
Corridor.
BCDA’s partnership with AG&P advances the vision of the Luzon Economic Corridor to
position the Philippines as a strategic hub for advanced manufacturing and digital
innovation, supported by reliable energy, resilient supply chains, and world-class digital
infrastructure.
This is also aligned with the Marcos Jr. administration’s efforts to strengthen the country’s
competitiveness by exploring solutions that can help meet the growing power and digital
requirements of key economic and industrial hubs.
