Johor state to take 10% stake in Petronas’ Pengerang terminals

KUALA LUMPUR: The State Secretary, Johor (Incorporated) will take a 10% stake in two terminals at Petroliam Nasional Bhd’s Pengerang Integrated Complex (PIC).

The Johor government had on Thursday signed two lease agreements with Pengerang Terminals (Two) Sdn Bhd (PT-2) and Pengerang LNG (Two) Sdn Bhd (PLNG-2) respectively. 

“The issuance of the lease agreements by the state of Johor marks the next stage of progress in the development of Petronas’ Pengerang Integrated Complex (PIC) in Pengerang, Johor,” said the national oil company.

Subsequent to the signing of the agreements, the Johor government would hold a 10% equity in PT-2 and PLNG-2 respectively.

PT-2 terminal will serve as a dedicated storage and industrial terminal for Petronas’ Refinery and Petrochemical Integrated Development (RAPID) complex. 

PT-2 will build and operate the facilities required for the handling, storage and distribution of crude oil, petroleum, chemical and petrochemical feedstock, products and by-products to and from the RAPID complex under the Pengerang Terminal Phase 2 Project. The storage facilities will have a capacity of approximately 2.1 million cubic metres and a deepwater jetty with 12 berths.

As for PLNG-2, it will build the liquefied natural gas (LNG) regasification facilities. They will comprise of a regasification unit and two units of 200,000 cubic metres LNG storage tanks with an initial send-out capacity of 3.5 million tonnes per annum (MTPA) -- 490 million standard cubic feet per day (MMscfd) -- of natural gas at Pengerang, Johor. Once completed, the regasification facilities will support the Pengerang Co-generation Plant to power up RAPID.

Petronas said the Pengerang Terminal Phase 2 project will be built next to the site of the existing Pengerang Independent Terminal. 

PT-2 and PLNG-2 are scheduled to be commissioned in line with the refinery complex by 2019.

To recap, Petronas’ Pengerang integrated complex development comprises of the RAPID complex and its associated facilities.

They include the Pengerang co-generation plant, re-gasification terminal 2 (RGT2), air separation unit, raw water supply project, liquid bulk terminal (SPV2) as well as centralised and shared utilities and facilities. 

Developed within a 6,242-acre site in Pengerang, PIC forms part of the Johor State’s Pengerang Integrated Petroleum Complex (PIPC), which is under Malaysia’s Economic Transformation Programme (ETP).

RAPID is estimated to cost US$16bil while the associated facilities will involve an investment of about US$11bil. 

Corporate News , Oil & Gas