JX Nippon Acquires 10% Stake in Petronas LNG
Malaysia's Petroliam Nasional Bhd (Petronas) and Japanese oil company JX Nippon Oil & Energy (JX NOE) have signed an agreement for the sale and purchase of equity in Petronas LNG 9 Sdn Bhd (PL9SB), say local media.
Under the agreement, JX NOE will acquire a 10% stake in PL9SB, a wholly-owned subsidiary of Petronas, owns the ninth LNG liquefaction train within the Petronas LNG Complex in Bintulu, Sarawak, Malaysia.
The unit is developing and will run the ninth liquefaction train at the Petronas LNG complex in Bintulu, Sarawak. The train, with a production capacity of 3.6 million tonnes of LNG per year, is expected to begin commercial operations in the first quarter of 2017, the companies said on Friday.
The LNG will be sold through a Petronas subsidiary to local power companies as well as to gas companies in Japan, South Korea and Taiwan.
JX Nippon Oil plans to team with Petronas to market to other Southeast Asian countries as well. The Japanese company hopes to earn more than 100 billion yen over the life of the contract, which runs until 2037.
Petronas said with the addition of the state-of-the-art liquefaction plant owned by PL9SB, the Petronas LNG Complex would have the capacity to produce about 30 million tonnes per annum to further cement Petronas’ position as a leading and reliable LNG supplier.
