KUALA LUMPUR: The State Secretary of Johor Inc (SSI) is taking a 10% equity interest in the two terminals — namely Pengerang Terminals (Two) Sdn Bhd (PT-2) and Pengerang LNG (Two) Sdn Bhd (PLNG-2) — in the Pengerang Integrated Complex (PIC) in Pengerang, Johor. SSI yesterday signed two lease agreements with PT-2 and PLNG-2 respectively for the purpose.

“The signing ceremony has marked the next stage of progress in the development of Petroliam Nasional Bhd’s (Petronas) PIC,” Petronas said in a statement yesterday.

PT-2 will serve as a dedicated storage and industrial terminal for Petronas’ Refinery and Petrochemical Integrated Development (Rapid) complex.

PT-2 will undertake the development, construction and operation of the facilities required for the handling, storage and distribution of crude oil, petroleum, chemical and petrochemical feedstock, products and by-products to and from the Rapid complex under the Pengerang Terminal Phase 2 project. 

The storage facilities will have a capacity of 2.1 million cu m and a deepwater jetty with 12 berths.

PLNG-2 will undertake the development of liquefied natural gas (LNG) regasification facilities comprising a regasification unit and two units of 200,000 cu m LNG storage tanks, with an initial send-out capacity of 3.5 million tonnes per annum, equivalent to approximately 490 million standard cu ft per day of natural gas in Pengerang.

Once completed, the regasification facilities will support the Pengerang Cogeneration Plant to power up Rapid.

The Pengerang Terminal Phase 2 project will be built next to the site of the existing Pengerang Independent Terminal and is estimated to cost close to RM12 billion. Both are scheduled to be commissioned in line with the refinery complex by 2019.

This article first appeared in The Edge Financial Daily, on February 6, 2015.