Marketing potential seen in Singapore LNG terminal

Business

STRATEGIC marketing for Papua New Guinea oil and gas in the Southeast Asian region through Singapore’s LNG terminal is an option to consider, says Singapore’s Pavilion Energy Pte Ltd.
Alan Heng, head of division for energy sales and marketing development, said during the PNG Petroleum and Energy Summit in Port Moresby yesterday that Singapore was the door to Asia.
He said Southeast Asia had much larger markets of more than 600 million people and had trillion dollar GDPs.
“Papua New Guinea has also developed a reputation, in the global marketplace, for being a reliable LNG supplier,” Heng said.
“This is important, because you may have the gas and the projects to develop the gas, but ultimately you need customers and users of gas.
“It is important that they see a positive picture of Papua New Guinea.
“That is a market not to be forgotten by PNG.”
He said that as much as PNG wishes to sell gas to the North Asian market, the 11 countries of the Association of Southeast Asian Nations (Asean) “is proven to be a market”.
“It is growing rapidly and is growing differently, because it has a different evolution on its journey on LNG use,” he said.
Heng said Singapore depended on LNG imports which accounted for 95 per cent of electricity generated in the state.
“We pay international gas prices,” he said.
“Gas comes from two sources: pipeline natural gas from Malaysia and Indonesia, and LNG imports.
“Our journey in LNG started in 2006, with the decision to invest in LNG terminal.
“We came into being in 2013, to be the first LNG buyer.
“We intend to build a second terminal at some stage to improve our diversity.
“We have taken up additional storage to promote our trade activities. Singapore is a natural trading hub and we intend to see if we can leverage our geographical position, to extend our reach.”

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