On Wednesday, Malaysia’s state-run Petroliam Nasional Bhd. (Petronas) signed an agreement to supply liquefied natural gas (LNG) to an ISO tank-filling facility belongs to China’s Tiger Clean Energy in the eastern state of Sarawak.
Under the deal, Tiger Clean will distribute the fuel to remote locations in China by utilizing ISO tanks. The method is not typical because it is more expensive than using the bigger LNG vessels.
Ahmad Adly Alias, the vice president of Petronas’ LNG Marketing and Trading division stated, “Through this...approach, we established a virtual pipeline that effectively enables LNG to reach off-grid customers who are not directly served by the natural gas distribution system in China.”
The deal was sealed in a video teleconference amid the restrictions of movements due to coronavirus pandemic. Petronas did not reveal volumes or prices of the cargoes sold.
