KL awards LNG contract

KL awards LNG contract

KUALA LUMPUR (AFP): A consortium of Malaysian, Japanese and
American companies won a tender Friday to build a 1.5 billion
dollar liquefied natural gas (LNG) plant in the eastern state of
Sarawak.

The project will be built on a 130-acre (52 hectare) site next
to the two existing LNG plants in the town of Bintulu, state oil
firm Petroliam Nasional Berhad (Petronas) said in a statement.

The three plants will make Bintulu the world's single largest
LNG complex with a combined production capacity of about 23
million tons a year, Petronas said.

It said its subsidiary MLNG Tiga Bhd awarded the contract to a
consortium including JGC Corporation from Japan and the US-based
Kellogg Brown et Root Inc.

Malaysia's Sime Engineering Sdn Bhd, Kellogg (Malaysia) Sdn
Bhd and JGC (Malaysia) Sdn Bhd are also in the consortium,
Petronas said.

The consortium will design, procure, build and commission the
plant which will house two liquefaction trains each capable of
producing 3.8 million tons of LNG annually.

The first is scheduled for completion by the end of 2002 and
the second in the third quarter of the following year.

MLNG Tiga is 60 percent owned by Petronas, with the remaining
40 percent equally shared between Shell Gas B.V., Nippon Oil LNG
(Netherlands) B.V., Occidental LNG (Malaysia) Ltd and the Sarawak
state government.