KUALA LUMPUR, June 5 (Reuters) - Malaysian state oil firm Petronas has awarded the engineering, procurement, construction, installation and commissioning (EPCIC) portion of its first commercial floating liquefied natural gas (LNG) project to a consortium comprising Technip SA and Daewoo Shipbuilding & Marine Engineering Co Ltd.
Petronas said on Monday it has approved plans to build a floating LNG plant offshore in Sarawak state, on Borneo island, and expected the facility to be ready for start-up by the end of 2015.
“It will be moored about 180 kilometres off the coast of Bintulu, Sarawak, and is designed to produce 1.2 million tonnes a year of LNG,” Petronas said in a statement on Tuesday.
Once on stream, Petronas said the facility will boost Malaysia’s total LNG production capacity to 26.9 million tonnes a year from 25.7 million currently.
Petronas’ main competitor in the race to bring the first floating LNG plant online is oil major Royal Dutch Shell , which approved its Prelude LNG floating plant last year and has said it intends to bring the plant online by 2017.