Petronas awards JGC-Samsung contract for third Malaysian FLNG

Jan. 9, 2023

Petronas has awarded a consortium of JGC Corp. and Samsung Heavy Industries Co. Ltd. the engineering, procurement, construction, and commissioning contract for a 2-million tonne/year nearshore floating LNG in Malaysia.

Christopher E. Smith

Petroliam Nasional Berhad (Petronas) has awarded a consortium of JGC Corp. and Samsung Heavy Industries Co. Ltd. (SHI) the engineering, procurement, construction (EPC), and commissioning contract for a 2-million tonne/year (tpy) nearshore floating LNG (FLNG) in Malaysia. The plant, to be completed in 2027, will be the third FLNG plant to be built to serve offshore gas fields in Malaysia.

JGC's main responsibilities will cover engineering, procurement, and commissioning of the FLNG topside and associated onshore infrastructure as well as overall project management. SHI will be responsible for the FLNG hull’s EPC work and modular fabrication of the topside.

Petronas is developing the nearshore plant with Sabah Oil & Gas Development Corp. The vessel will be stationed near Sipitang Oil and Gas Industrial Park in Sabah, East Malaysia. The plant could serve as an alternative outlet for natural gas production from Kebabangan cluster, owned by Shell PLC, ConocoPhillips East Malaysia Ltd., and Petronas.

JGC Group executed EPC for all nine trains of the 29-million tpy Petronas LNG complex in Bintulu, Sarawak, Malaysia, and for 1.5-million tpy PFLNG Dua, operating at Rotan gas field, 140 km offshore Kota Kinabula, Sabah (OGJ Online, Feb. 15, 2021). PFLNG Satu (1.2 million tpy) was Malaysia’s first floating LNG plant, coming online in 2016.

About the Author

Christopher E. Smith | Editor in Chief

Christopher brings 27 years of experience in a variety of oil and gas industry analysis and reporting roles to his work as Editor-in-Chief, specializing for the last 15 of them in midstream and transportation sectors.