Singapore's Pavilion Gas Imports Its First LNG Cargo For Domestic Use
8 Abril 2018
Singapore (Reuters)

Singapore's Pavilion Gas, a unit of Pavilion Energy, imported its first liquefied natural gas (LNG) cargo for domestic use to power the city-state's industrial sector as it looks to grow its business in the country and in Asia.

The LNG cargo was delivered in the 206,000 cubic metres "Al Oraiq" tanker on Saturday, supplied by Qatargas under a spot contract, Pavilion said on Sunday.

LNG from the vessel will be regassified and delivered to Pavilion Gas' downstream customers in the Singapore natural gas market, it added.

"Pavilion Gas will… supply our customers in Singapore from a portfolio of LNG and piped natural gas from Qatar, Indonesia, the United States and international markets," said Frederic Barnaud, the newly appointed chief executive of Pavilion Energy.

Pavilion supplies natural gas to one-third of Singapore's industrial requirements including the power generation, petrochemicals, biotechnology, pharmaceuticals and manufacturing sectors.

Pavilion Gas, along with Shell Eastern Trading, won the rights in 2016 to supply Singapore with LNG, and received the LNG importer licence in October, last year.

Under the license, both companies will have exclusivity to market LNG for three years or up to 1 million tonnes per year, whichever comes first.

Pavilion Gas and Shell Eastern Trading, a unit of Royal Dutch Shell PLC, join Shell Gas Marketing, which was previously known as BG Singapore Gas Marketing, as the country's approved LNG importers.

Singapore is planning to import more of the super-cooled fuel as contracts for natural gas supplied via pipelines from Malaysia and Indonesia are due to expire in the early 2020s.