Malaysia’s Gas Malaysia and Petronas Gas (PGB) have signed a Joint Study and Cooperation Agreement (JSCA) to conduct a feasibility study for an onshore lateral pipeline connecting the Yan LNG (Liquefied Natural Gas) regasification terminal in Kedah to the existing Peninsular Gas Utilisation (PGU) network, it is reported.
The agreement covers a feasibility study for the onshore lateral pipeline linking the Yan LNG regasification terminal (RGT-3) to the existing PGU network, with Petronas Gas reportedly leading hydraulic steady-state and transient simulations, site surveys, and front-end engineering design (FEED). Development costs are reported to be shared between the two companies based on their equity stakes.
Gas Malaysia is reported to be contributing RM7 million to the pipeline feasibility study. The connected RGT-3 terminal has a storage capacity of 170,000 cubic meters and a regasification send-out capacity of 500 MMscfd (million standard cubic feet per day).
The investment is reported to be aimed at strengthening pipeline infrastructure linking the LNG regasification terminal to the existing gas network, improving gas supply reliability across Peninsular Malaysia.
Continued pipeline infrastructure investment connecting LNG import terminals to existing gas networks suggests that expansion of LNG regasification facilities and gas network integration projects across Southeast Asia could increase together.