Regional LNG: Brunei LNG covers up Malaysia's shortfall
Monday, September 8 2003 - 12:12 PM WIB
Dato Paduka Hamdillah Wahab, Brunei LNG Sdn Bhd's (BLNG) Managing Director, said that Brunei was able to do this when Malaysian LNG production hit a snag this year and was unable to meet its export quota.
That Brunei was able to render timely help was part of the good news but the downside of it was it showed how fragile the business of producing LNG is.
He said Indonesia another major LNG producer also experienced difficulties. But Brunei was unable to assist because Malaysia had come first.
Brunei's LNG production is poised to break another milestone this year and is expected to exceed last year's record of 203.5 B-class cargoes equivalent.
"Indeed, we are moving forward with our upstream partners and buyers to achieve our objective of full plant utilisation," Dato Hamdillah said.
Oil and gas are Brunei's only source of income, thus vital to the country's well being.
BLNG has three shareholders, the Brunei government 50 percent, Shell 25 percent and Mitsubish 25 percent.
It has never missed a single cargo in its 30-year history and that underlined the robustness and resilience of the Brunei value chain and the deep spirit of cooperation that underpins the established relationship between BLNG and its customers, Tokyo Electric, Tokyo Gas, Osaka Gas and Kogas, as well as the gas suppliers BSP and BBJV.
Within BLNG, this means continued operational excellence, sustainable investment in people and plant assets and Supply of market diversity.
From April 1, 1999 BLNG received feed gas from a second supplier, Block B JV by TotalFinaElf to support its long term contract with a new buyer, Korea Gas Corporation who began importing LNG on spot basis from Brunei late 1994 and signed a long term SPA on October 22 for delivery until 2013. (*)