Malaysian energy firm Petronas has awarded joint venture developer Avenir LNG a contract for the provision of a 7,500-cubic-meter capacity LNG carrier.
The partnership between Malaysian shipping line MISC Berhad and Bermuda-based Avenir LNG was awarded a time charter party for the project by PETRONAS LNG (PLSB). The contract value was estimated at U$28 million.
“We are delighted to have partnered with MISC to provide our first 7,500 cubic metre LNG ship to PLSB to help start the bunkering activities in Malaysia and nearby areas,” Andrew Pickering, CEO of Avenir LNG Limited, said.
Avenir and MISC have announced plans to form a new joint venture company to manage the commercial operations of the LNG carrier. Ship management services will be provided by a wholly-owned subsidiary of MISC - Eaglestar Shipmanagement.
“The wider cooperation with PETRONAS on bunkering and small-scale development is what we consider very strategic in opening up this new and exciting market,” Pickering added.
Avenir and PLSB will offer multi-modal LNG bunkering solutions as well as the development of selected small-scale LNG projects and both firms will also deliver wider support for LNG fuelled vessels.
Peninsular Malaysia is forecast to see increased LNG fuelling development over the medium term thanks to improving infrastructure and proximity to Singapore which acts as a trading hub. Authorities at the port of Johor recently signed a deal with Petronas LNG (PLL) to deliver marine services and improve vessel tariffs for LNG handling services at PLL’s Regasification Terminal Pengerang (RGTP).
Nantong scoops Keppel Singmarine contracts
Earlier this year, Avenir placed contracts with Nantong CIMC Sinopacific Offshore & Engineering for the construction of two 7,500-cubic-meter LNG carriers, at its Nantong, China shipyard.
Delivery of the two LNGC new buildings is scheduled for May and August 2021, with both featuring ice class 1B, full bunker functionality, double hull and dual fuel electric twin azimuth propulsion. This order replaces a previous option held with Keppel Singmarine which was cancelled by mutual agreement.