Petronas completes 2nd LNG break bulking STS transfer

UOB Kay Hian Research analyst Kong Ho Meng said while there have not been any large tenders awarded by Petroliam Nasional Bhd (Petronas), it expected contracts to be rolled out from next year. In Malaysia, he said, about 11% or about 35 of the over 300 platforms have been operating for over 40 years, and more than 200 wells have already been identified to be plugged and abandoned.

KUALA LUMPUR: Petroliam Nasional Bhd (Petronas), through its subsidiary Petronas LNG Ltd (PLL), has strengthened its position as a liquefied natural gas (LNG) solutions provider through the completion of the second LNG break bulking ship-to-ship (STS) transfer in Brunei Bay.

Petronas vice-president LNG marketing and trading Ahmad Adly Alias said the STS will be for delivery to China.

“This is the second STS operation by Petronas, hence demonstrating the company’s ability to respond to the changing landscape of LNG delivery and customers’ demand for customised solutions.

“At the same time, it supports the growth of the LNG market in areas with limited operational parameters,” he said in a statement today.

The break bulk operations saw the fully loaded Seri Bijaksana vessel carrying LNG cargo from Gladstone LNG, Australia, transferring smaller parcels onto two ‘daughter’ vessels for onward deliveries to different LNG terminals in Shanghai, China.

The first cargo was transferred from the ‘mother’ vessel to an 80,000 m³ ‘daughter’ vessel, Arctic Spirit, while the second cargo transfer was done with another similar size ‘daughter’ vessel, Polar Spirit.

“The back-to-back break bulking STS transfers via Arctic Spirit and Polar Spirit vessels were completed in approximately 72 hours, manifesting a just-in-time principle, driving the operational cost to the minimum level,” he said.

Ahmad Adly attributed the success in completing the STS was a collaborative effort with various stakeholders, namely Sabah Department of Ports and Harbours, Sabah Ports Authority, Sabah Ports Sdn Bhd, Argo Engineering Sdn Bhd, Eastport Marine Sdn Bhd, MISC Bhd, Asian Supply Base Sdn Bhd, Teekay LNG Partners L.P., and Shenergy Group Co. Ltd.

In June 2018, Petronas completed its first STS operations at the same site in Brunei Bay, a location gazetted for STS operations due to its calm waters. — Bernama