Malaysia's Petroliam Nasional Bhd said on Monday that it has started exports of liquefied natural gas (LNG) in ISO tanks to China from its filling facility in Pengerang in the southern state of Johor.
The country's export of LNG through ISO tanks was delivered to Shanghai from the port of Pasir Gudang in Johor on April 23, following a spot contract signed between Petronas and Tiger Gas (Hong Kong), an affiliate of China's Tiger Clean Energy Ltd, Petronas said.
Last year, both companies signed a long-term sales and purchase agreement for the supply of LNG to Tiger Clean Energy's ISO tank-filling facility in the eastern state of Sarawak.
ISO tank containers, so called because they meet specifications set by the International Organization for Standardization (ISO), offer quick access to the cleaner super-chilled fuel for end-users in locations far from main pipelines who require smaller volumes.
Usually carried in container trucks instead of LNG vessels, they offer a back-up solution to meet excess demand faster than vessel deliveries that can be constrained by rigid schedules.
With the start up of operations at Petronas' ISO tank filling facility at Pengerang, Malaysia is now poised to strengthen its position as an LNG ISO tank export hub, with filling facilities in West and East Malaysia, the company added.
(Reporting by Jessica Jaganathan; Editing by Christian Schmollinger)
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