TALKS between Osaka Gas Co. Ltd. of Japan and the Manila Electric Co. (Meralco) for a possible joint venture in a power project involving liquefied natural gas (LNG) would have to take a back seat pending results of their respective feasibility studies.

Meralco President Oscar Reyes said the direction toward renewable energy, limited gas sources and huge costs related to LNG infrastructure would have an impact on Meralco’s decision on how to go about the LNG business.

Initially, the two companies were planning to build a 1,500-megawatt (MW) gas-fired power plant that will include a terminal for the LNG.

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