Petronas to lead floating LNG JV

By OGJ editors
HOUSTON, May 26 -- Malaysia's state oil company Petronas has formed a joint venture with Houston-based Mustang Engineering and Petronas shipping subsidiary MISC Bhd. to develop floating LNG liquefaction, storage, and offloading. The JV will use Mustang's Smart liquefaction technology.

Petronas holds 60% of the Kuala Lumpur-based JV, MISC 30%, and Mustang 10%. Information from Mustang stated the JV's first project activity will be development of the frontend engineering design for a floating LNG vessel to be located off Malaysia. The JV expects first gas from the floating LNG FPSO in 2013.

The announcement said that Petronas will provide assistance in gas field sourcing and LNG marketing, MISC will provide LNG shipping fabrication, and Mustang will provide engineering design, procurement, and project management related to LNG liquefaction processes and gas pretreatment for topsides facilities.