PETRONAS begins construction of Malaysia’s first offshore FLNG facility



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Malaysia’s state-owned energy company Petronas has begun construction of a near-shore floating liquefied natural gas (FLNG) unit that, once operational, will be the first such facility in Malaysia.

A steel cutting ceremony for a coastal FLNG facility was held at the Samsung Heavy Industries (SHI) shipyard on Geoje Island, South Korea.

This third FLNG facility by Petronas is designed to produce up to 2 million tonnes per annum (MTPA) of LNG and is targeted to begin commercial operations by the second half of 2027.

With a focus on sustainability and innovation, the upcoming nearshore FLNG facility will incorporate technologies such as energy-efficient power generation systems and aeroderivative gas turbines to reduce carbon emissions.

Once completed, the coastal FLNG facility will be moored at the Sipitan Oil and Gas Industrial Park (SOGIP) and is expected to attract new investment to the region.

“We are working with our partners in Sabah to provide energy security and create an environmentally sustainable and optimized energy supply chain, in line with efforts to position Malaysia as a key global hub for low-carbon energy. We look forward to unlocking Sabah’s gas reserves in a way that will help.

“The nearshore FLNG facility is the latest advancement in our floating LNG technology and is the culmination of the expertise gained from PFLNG Satu and PFLNG Dua,” said Petronas Chief Operating Officer, Executive Vice President Gas and Chief Executive Officer said Adnan Zainal Abidin. work.

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