Petronas Inks Gas Sales Agreements

Petronas has entered into two natural gas sales agreements governing the supply of natural gas from domestic production in Sabah and Sarawak.

The first agreement was signed between Petronas and the Kebabangan Cluster Production Sharing contractors Petronas Carigali Sdn Bhd, Shell Energy Asia Ltd and ConocoPhillips Sabah Ltd.

Under the terms of agreement, Petronas will purchase gas from the KBBC PSC contractors and will act as aggregator that supplies the gas to customers in Sabah.

The second agreement will see Petronas and the PSC contractors supplying gas as joint sellers to MLNG Dua Sdn Bhd at the Petronas LNG Complex in Bintulu, Sarawak

The two agreements cover the supply of up to 750 million standard cubic feet per day of gas to both customer sectors.

Deliveries are expected to commence in the second half of 2014 via the Sabah Oil and Gas Terminal and the Sabah Sarawak Gas Pipeline facilities owned and operated by Petronas Carigali.

Source: Bernama