KUALA LUMPUR (Aug 2): Petronas yesterday delivered its first liquefied natural gas (LNG) cargo to Hokkaido Electric Power Co Inc, marking the beginning of its LNG supply to the Japanese company under a 10-year agreement entered into in March 2017.

Petronas said the cargo was delivered through its subsidiary Malaysia LNG Sdn Bhd (MLNG) from its LNG complex in Bintulu, Sarawak to Ishikari Terminal by Puteri Delima Satu, the LNG vessel chartered by MLNG and operated by Petronas' subsidiary MISC Bhd.

In a statement, it said Hokkaido Electric will utilise the cargo for the commissioning of its LNG tank at Ishikari Terminal.

Petronas LNG Marketing & Trading vice president Ahmad Adly Alias said Petronas is honoured to be one of Hokkaido Electric's trusted main suppliers for the next 10 years.

"I am confident that this first delivery is a significant step towards nurturing a collaborative relationship for both Petronas and Hokkaido Electric moving forward," he said.

Reaching its 40th year milestone in the LNG business this year, Petronas claims to be a reliable LNG supplier and solutions provider. The Petronas LNG Complex in Bintulu, Sarawak, operated by MLNG, is one of the world's largest LNG complexes. The nine-train facility has a combined annual production capacity of approximately 30 million tonnes.

Established in 1951, Hokkaido Electric has been supplying electricity to the entire Hokkaido region and is the largest power utility in Hokkaido Prefecture, Japan.