In a move that will underpin Singapore’s ambitions to become an LNG hub, Pavilion Energy Pte Ltd and Singapore LNG Corporation Pte Ltd (SLNG) have extended their co-operation by signing a five-year agreement for LNG storage and reload services at the SLNG Terminal on Jurong Island
This is the first such agreement signed for a term longer than two years, following a competitive bidding process.
Under the agreement, Pavilion Energy will have access to tank capacity of 180,000 m3 on a segregated basis at the SLNG Terminal over the next five years. Such capacity will support a higher volume of LNG trading activities, including LNG breakbulk and vessel cool-down services. The contract’s longer tenure allows Pavilion Energy greater flexibility in managing its LNG portfolio, market fluctuations and demand dynamics.
“Tank capacity in Singapore presents greater opportunities for LNG optimisation and trading in the Asia-Pacific Basin,” said Pavilion Energy group chief executive Frédéric H Barnaud.
Already the world’s busiest bunkering port, Singapore has plans to be a regional LNG powerhouse and major LNG bunkering supplier, too. SLNG chief executive Tan Soo Koong said SLNG is “primed to play our part in helping Singapore achieve its ambition of becoming an LNG hub, through catalysing LNG-related businesses such as LNG trading, small-scale LNG distribution, LNG bunkering, and more.”
SLNG terminal has two jetties, three LNG 180,000-m3 storage tanks, a fourth 260,000-m3 tank and expanded regasification facilities, raising throughput capacity of the terminal to 6 mta. Each of the jetties has four uploading/reloading marine arms, with the main jetty accommodating LNG carriers with capacities of 120,000 to 265,000 m3.
The secondary jetty was modified in February to reload small-scale LNG carriers, with capacities of between 2,000 and 10,000 m3.