Malaysian oil and gas company Petroliam Nasional Berhad (Petronas) has partnered with Chinese fuel specialist Tiger Gas to launch a new joint venture LNG bunkering business.
The venture will be operated by fuelling subsidiary Petronas Marine and builds on a sale and purchase agreement signed in 2020 to supply LNG to the Chinese market via ISO tanks.
“We are committed to making sustainability the cornerstone of our operations in China by providing energy solutions that would help accelerate the progress towards the country's "Dual Carbon" goal whilst collectively contributing to the energy industry growth alongside our partners,” Ahmad Adly Alias, Vice President of Refining, Marketing & Trading at Petronas, said.
The new joint venture comes after Petronas Marine completed its maiden ship-to-ship LNG bunkering operation, supplying approximately 500 tonnes of LNG to the Tiger Gas vessel Tiger Maanshan, the world's largest dual-fuel deck cargo ship.
Headquartered in Hong Kong, Tiger Gas is part of Tiger Group, and in 2021 launched the world's largest LNG tank container ship. Owned by former Seaspan director and shipping investor Graham Porter, the group is overseen by former Seaspan CEO Gerry Wang.
“Tiger and Petronas have maintained a sound partnership for a long time,” Wang said. “[The] offshore ship-to-ship LNG bunkering has greatly shortened the turnaround of LNG carrier vessels, laying a solid foundation for a more efficient and greener LNG supply chain. In the future, Tiger Gas will continue to work together with Petronas to facilitate the energy transition.”
The bunkering operation in March makes Tiger Gas the first Chinese customer for Petronas’ LNG bunkering business in the country, however this year is the 20th anniversary of Petronas operations in China overall.
State-owned energy firm Petronas is headquartered in Kuala Lumpur and has a presence in over 100 countries. The firm has made a push into LNG in recent years, helping to cement the country’s position as the world’s fourth largest LNG exporter.
“Moving forward, Petronas will remain committed to the Chinese market, empower the Chinese energy industry and contribute to the country's economic development… as we forge ahead together to achieve our net zero aspiration,” the firm said in a statement.