Malaysia-based Nacap Asia Pacific will construct a natural gas pipeline through southern Vietnam on behalf of state-owned PetroVietnam, Dow Jones MarketWatch says.
The move is intended to help Vietnam meet an increasing energy demand, which is forecast to rise by 15 percent a year through 2010. In addition, the project will enable the government to convert an older oil-powered plant to one that relies on cleaner natural gas.
At present, Vietnam has but a single gas pipeline -- one operated by BP. The lack of transport options has put a damper on expansion of the sector, despite the country's substantial natural gas reserves. The Malaysian firm's investment will at least help ensure that cleaner energy is front and center in upcoming plans to increase capacity in the sector.
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