A bunkering demonstration transferring liquefied natural gas (LNG) to a ship was carried out on Tuesday (May 2) - the first time the natural gas has been supplied to a ship from a port in Southeast Asia.

The bunkering process involved the transfer of the gas from a truck to a vessel alongside Jurong Port's berths. The demonstration was carried out by Pavilion Energy, one of the two companies licensed as LNG bunker suppliers in Singapore.

"Changes in the global gas market have created exciting opportunities in LNG trading and bunkering, and Singapore offers several advantages for companies seeking to grow their presence in these areas," said Senior Minister of State for Trade and Industry Koh Poh Koon, who attended the demonstration.

"For example, Singapore is a neutral marketplace and in close proximity to traditional and emerging buyer demand in Asia," Dr Koh said. "Our status as a leading trading and financial hub will support companies in the LNG industry.

"The expansion of our LNG infrastructure and capabilities will further increase opportunities for LNG trading and bunkering, which are important elements for a regional gas hub."

As the world's largest bunkering hub, plans to develop Singapore into an LNG bunkering and trading hub, and to be LNG-bunker ready as early as 2020, are in the works.

This includes a S$12 million support fund for the building of LNG-fueled vessels, with the Government co-funding up to S$2 million per LNG-fueled vessel. On Apr 12, Singapore's first LNG truck loading facility was also launched.