PARIS: Petroliam Nasional Bhd (Petronas) says its floating liquefied natural gas (LNG) facility (PFLNG) is a game changer that will open doors to more opportunities in global projects.
Global LNG Project, Upstream vice president Adnan Zainal Abidin said although Petronas’ first PFLNG, the PFLNG1, is expected to start operations in the first quarter of next year, the group has already received enquiries from multinationals.
Petronas has two PFLNGs in the pipeline: the PFLNG1, costing more than US$1 billion and scheduled to be ready by early 2016, and the PFLNG2, expected to be ready by 2018.
“Our focus now is on both floaters, which will be located offshore Malaysia.
“We are already receiving enquiries in fields operated by others.
“For us, our priority is to commission them successfully and to have the necessary track record,” he told Bernama on the sidelines of the 26th World Gas Conference (WGC) here.
“With those under our belt, the discussions can go further. It’s still early but we have already had preliminary discussions. It is all about possibilities,” he added.
The PFLNG, the first such facility in the world, is expected to change the landscape of the LNG business with liquefaction, production and offloading processing of LNG, previously only possible at onshore plants, able to be carried out hundreds of kilometers away from land and closer to offshore gas sources.
It opens opportunities to monetise resources from remote marginal and stranded gas fields which are otherwise uneconomical to develop.
Adnan said the industry has floated the idea of a floating LNG facility for a long time but until now has been unable to make it happen.
“Not many people can do that. One is the expertise.
“We are fortunate to have FLNG expertise in both the carrier and the plant itself. We also have the field.
“LNG is a capital-extensive endeavour.
“You also must have the marketing expertise and a home market.
“That is a very important leverage we have,” he added.
Adnan said the group has a number of long-term contracts in its portfolio, and is currently in talks with Thailand’s PTT PCL on potential LNG cooperation.
“PTT is one of our customers, but we’re talking about other opportunities to collaborate.” — Bernama