Malaysia’s national energy behemoth Petronas has lifted the force majeure on gas supplies to MLNG Dua, one of four liquefaction projects that comprise the 29 million-plus tonnes per annum nine-train Petronas LNG Complex at Bintulu, Sarawak.
Petronas on Thursday said it was pleased to announce the lifting of the force majeure on gas supplies to MLNG Dua effective 1 November.
“This decision follows the successful commissioning of Jerun and Kasawari earlier this year, two new gas fields in Sarawak now providing a reliable source of feed gas,” the company said in a statement.
In September 2022, Petronas declared force majeure on gas supply to MLNG Dua following subsidence issues on a section of the Sabah-Sarawak Gas Pipeline (SSGP) that delivered volumes from fields offshore Sabah to MLNG.
In tandem with that repair work, the company undertook an investigation into the supply disruption to MLNG Dua that has nameplate liquefaction capacity of 9.6 million tpa.
Upstream understands the decision was subsequently taken not to resume using the 512-kilometre SSGP to deliver feed gas to MLNG — the 36-inch diameter trunkline has capacity of 750 million cubic feet per day of gas.
MLNG Dua has term sales contracts with customers including Japanese companies Mitsubishi, which is also a partner in the project, and Tohoku Electric.
Petronas added that it extends its “sincere appreciation” to its stakeholders, partners and customers for their trust and collaboration throughout the period of force majeure.
“Looking ahead, Petronas reaffirms its commitment to meeting its contractual obligations, ensuring a stable and reliable supply of LNG to meet the energy needs of its customers.”
Petronas holds an 80% operated stake in MLNG Dua, with Mitsubishi and the Sarawak state government each having a 10% interest.
Source: upstreamonline.com