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AG&P, Adnoc Logistics and Services ink 15-year charter agreement for storage, flexibility to PHLNG

Joseph Sigelman, chairman and CEO, AG&P Group and Capt. Abdulkareem Al Masabi, CEO of Adnoc L&S. — Supplied photo
Joseph Sigelman, chairman and CEO, AG&P Group and Capt. Abdulkareem Al Masabi, CEO of Adnoc L&S. — Supplied photo

Phase 1 commissioning of PHLNG in H2 with FSU storage. In Phase 2, two additional onshore storage tanks to follow in 2024.



by

A Staff Reporter

Published: Wed 23 Feb 2022, 2:24 PM

Last updated: Wed 23 Feb 2022, 5:42 PM

Atlantic, Gulf & Pacific International Holdings (AG&P), a leading downstream LNG platform and infrastructure development company, has signed a long-term charter agreement with Adnoc Logistics and Services (ADNOC L&S) for the supply, operations and maintenance of the vessel named ISH, a 137,512 cubic metre floating storage unit (FSU) for the first Philippines LNG Import Terminal (PHLNG) in Batangas Bay.

The FSU will be located at Batangas Bay at AG&P’s new PHLNG facility on the main island of Luzon, the first LNG import terminal in the Philippines. The FSU is being chartered for 11 years with an option to extend by another four years. ADNOC L&S will provide a Japan-built, Moss-type containment vessel as FSU for the project from its fleet of eight LNG ships. The FSU is part of the combined offshore/onshore terminal that will have an initial capacity of five million tonnes per annum (MTPA) and provide its customers with resiliency of supply, even in storms.

Capt. Abdulkareem Al Masabi, CEO of Adnoc L&S said, “This agreement with AG&P builds on our existing partnership and demonstrates Adnoc L&S’ continued focus on maximising value from its assets. By providing AG&P with another flexible storage solution for their new LNG terminal, we are able to extend the operational life of this vessel, unlocking surplus value and new opportunities for growth. Furthermore, as the provider of world-class shipping, offshore logistics and onshore services, we are growing our global footprint, delivering cutting-edge technology and services to our partners. Our project with AG&P in the Philippines will contribute to the economic growth of the country by leveraging the potential of clean LNG for power generation.”

The hybrid-designed PHLNG import terminal will be commissioned in two phases. The first phase will be commissioned with the FSU storage in Q3 2022, and the two additional onshore storage tanks will be integrated by the end of the second phase in 2024. Then, PHLNG will have scalable onshore regasification capacity of 504 mmscfd and 257,000 cbm of storage that will ensure high availability and reliability of natural gas for its customers. The terminal will also act as a gateway in providing breakbulk LNG supply to various islands across the country.The PHLNG import terminal is under construction and commercial operation is scheduled to commence in early Q3 2022.

Joseph Sigelman, chairman and CEO, AG&P Group, said: “PHLNG will store LNG and dispatch natural gas, providing a critical, clean transition fuel for the Philippines. We are privileged to have Adnoc Logistics and Services, a foremost global leader in LNG logistics, as our partner to transition the Philippines to cleaner fuel through AG&P’s PHLNG import terminal.”

AG&P employs 8.000 people globally and will soon open office in Dubai to expanding footprint in the region. Sigelman said: “This partnership is about extending the UAE’s ability to bring net zero to other countries around the world such as those that desperately need clean air and to work towards their own goals of net zero. The UAE is now playing a leadership role in allowing other countries around the world to achieve their own goals of net zero. The UAE is one of the best centres of free trading with interesting visions and strategy and though this country which maybe geographically small it is contributing profoundly to decarbonisational goals around the world.”

— sandhya@khaleejtimes.com


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