Cambodia Takes a Major Step Forward in Its Energy Transition with First LNG Power Plant

Cambodia is taking a decisive step in its energy transition. By the end of 2026, the country is set to commission its first power plant fueled by liquefied natural gas (LNG), with an estimated capacity of 900 megawatts.

This large-scale project, led by the local conglomerate Royal Group, represents an investment of nearly USD 1.35 billion and marks a strategic advance for national energy security.

Located in the Botum Sakor district of Koh Kong province, the modern facility will be developed in two phases: the first is scheduled to become operational by the end of 2026, followed by a second phase in 2027. According to H.E. Keo Rottanak, Minister of Mines and Energy, who visited the construction site on January 5, the project will play a key role in “strengthening the stability of Cambodia’s power grid and ensuring a more secure and sustainable supply of electricity.”

Through this infrastructure, the government aims to meet growing energy demand while diversifying its sources of supply. Until now, Cambodia has relied heavily on hydropower and regional electricity imports to support its industrial and urban development. The introduction of LNG therefore offers a cleaner and more stable alternative to coal, while serving as a transitional step toward a more balanced energy mix.

The minister also reaffirmed the national ambition to increase the share of renewable energy to 70% of the energy mix by 2030—an objective that reflects the country’s determination to combine economic growth with environmental sustainability.

This strategic direction comes at a time when energy competitiveness is becoming a major lever for attracting foreign investment across the region.

Beyond its technical aspects, the Botum Sakor power plant also symbolizes the growing role of local companies in the development of major infrastructure projects. For Royal Group—already active in telecommunications, tourism, and financial services—this initiative illustrates its diversification into the energy sector and its expanding role in the country’s modernization.

Within the next few months, Cambodia could thus enter a new energy era, built on a more balanced combination of technological innovation, supply security, and environmental responsibility.