REGULATORY · MARKET STRUCTURE · MALAYSIA
Gas Malaysia receives approval for Yan LNG terminal
Change
Malaysia’s Energy Commission issued a letter to proceed for Gas Malaysia to develop an offshore floating storage and regasification unit in Yan, Kedah.
Why it matters
The facility is planned as an offshore floating storage and regasification unit sited west of Pulau Bunting in Yan, Kedah. Planned capacity is up to six million tonnes per annum. Current development cost estimates range between MYR2 billion and MYR3 billion. Next implementation steps are detailed engineering, site preparation, and progression of financing arrangements, with the funding method to be determined later and the company board having accepted the letter to proceed.
Implications
- · Detailed engineering and site-preparation activities must be completed under the implementation pathway.
- · Progression and closing of financing arrangements are required before construction and commissioning steps.
- · Project budgeting and lender assessments will be constrained by the MYR2–3 billion development cost estimate.
Who is affected
- · Gas Malaysia board and shareholders
- · Project developers and EPC contractors
- · Project financiers and lenders
- · Energy Commission (regulator)
Source
Topics
World & Politics Policy & Regulation Energy & Power Grid & Utilities Energy Transition