Malaysia LNG, Hokuriku Electric Finalise LNG Agreement

Petronas’ subsidiary Malaysia LNG has agreed to supply six cargoes (380,000 tons) of LNG per year to Japanese utility Hokuriku Electric Power for ten years, Hokuriku said December 7.

The supplies are expected to start in March 2018. Hokuriku said by using LNG for power generation it will promote a low carbon society. The LNG will be regasified for use in Hokuriku Electric's first gas-fired plant, a 424.7 MW Toyama Shinko power plant, which is scheduled to start operations from November 2018. The utility signed a basic agreement with Malaysia LNG on May 5 last year.

Malaysia LNG is 90% owned by Petronas, while the Sarawak state government and Japan's Mitsubishi Corp own 5% each.

Shardul Sharma