Regional LNG: JX Nippon to acquire 10% stake in Petronas LNG unit
Saturday, June 4 2016 - 04:32 AM WIB
Malaysia?s Petronas and Japan?s JX Nippon Oil & Energy (JX NOE) have signed an agreement for the sale and purchase of equity in Petronas LNG 9 Sdn Bhd (PL9SB), a wholly-owned subsidiary of Petronas.
JX NOE said in a statement Friday that under the agreement, the company will purchase a 10 percent stake in PL9SB, which owns the ninth LNG liquefaction train within the Petronas LNG Complex in Bintulu, Sarawak, Malaysia. The train, with a production capacity of 3.6 million tons per annum, is expected to commence commercial operations in the first quarter of 2017.
A ceremony to commemorate the agreement was held in Kuala Lumpur Thursday, attended by Peronas President & Group CEO, Datuk Wan Zulkiflee Wan Ariffin and JX NOE Representative Director and President, Tsutomu Sugimori with the presence of senior leaders from both organizations.
JX NOE?s entry into PL9SB marks its second participation in Petronas? LNG projects, in addition to its existing 10 percent equity interest in MLNG Tiga Sdn Bhd.
With the addition of the state-of-the-art liquefaction plant owned by PL9SB, the Petronas LNG Complex will now have the capacity to produce approximately 30 million tons per annum to further cement Petronas? position as a leading and reliable LNG supplier. The strategic partnership of Petronas and JX NOE will strive towards expanding the LNG business and ensuring a reliable supply of energy for their customers.
A marketing support agreement was also signed between Petronas LNG Limited and JX NOE.
Editing by Reiner Simanjuntak