Cambodia Lures Global LNG Giants with New Power Plant Deal

Cambodia is attracting interest from global liquefied natural gas (LNG) exporters as the country builds its first LNG-fueled power station. The energy minister, Keo Rottanak, told Bloomberg that several nations are vying to supply fuel for the new power plant, including the United States, Australia, Canada, and other Southeast Asian countries.

Cambodia gets 63% of its electricity from renewable sources, but also generates over 50% of its energy from hydrocarbons such as coal, oil, and oil products. The government sees LNG as a diversification tool to reduce dependence on these fuels.

LNG prices have been high in recent months, surging to over $21 per million British thermal units due to Middle East disruptions and new capacity coming online in the US. However, this has created an opportunity for other exporters to secure new clients.