Malaysian national oil company Petronas has started exporting liquefied natural gas (LNG) to China in ISO tanks from its filling facility in Pengerang, Johor Bahru.
The maiden shipment of LNG ISO tanks was delivered to Shanghai from Pasir Gudang Port of Johor on 23 April 2021, following a spot contract signed between Petronas and Tiger Gas (Hong Kong) Ltd, an affiliate of Tiger Clean Energy Limited (TCEL).
“This inaugural LNG ISO tank export from Peninsular Malaysia is an innovative solution that enables LNG to reach off-grid customers, not only domestically, but also internationally, extending the reach of our Virtual Pipeline System offering that we have started since late last year,” said Petronas vice president of LNG marketing and trading, Shamsairi M Ibrahim.
In 2020, Petronas and TCEL signed a long-term sale and purchase agreement for the supply of LNG to TCEL’s LNG ISO tank filling facility in Bintulu, Sarawak. As part of this agreement, Petronas’ LNG will be distributed to China using TCEL’s ISO tanks, with the first shipment sailing from Bintulu Port to the Port of Long Kou on 25 March 2021.
With “the operation of Petronas’ ISO tank filling facility at Pengerang, Malaysia is now poised to strengthen its position as an LNG ISO tank export hub, with filling facilities in West and East Malaysia that provide customers with an alternative and reliable LNG solution,” Petronas said in a statement yesterday.