MISC JV bags RM117m contract from Petronas LNG

PETALING JAYA: MISC Bhd and Avenir LNG Ltd have secured a US$28 million (RM117 million) contract from Petronas LNG Sdn Bhd for a three-year period.

MISC told Bursa Malaysia that the contract is for the provision of one liquefied natural gas bunker vessel for operations primarily in Malaysian and Singaporean waters.

“MISC and Avenir have agreed on the principal terms for the collaboration and will enter into a shareholders’ agreement.”

“A joint venture company, Future Horizon (L) Pte Ltd (FHLPL), will be formed to manage the commercial operations of the vessel with the ship management to be provided by Eaglestar Shipmanagement (L) Pte Ltd an indirect wholly owned subsidiary of the company.”

Future Horizon will be 51% owned by MISC and 49% by Avenir.

The charter for the vessel is expected to commence by the first quarter of 2020.

Avenir, a company incorporated in Bermuda, is a joint-venture between Stolt-Nielsen Ltd, Golar LNG and Hoegh LNG and is positioned as a fully integrated small-scale LNG supplier.

Petronas LNG is principally involved in management services and chartering of LNG ships.

At the midday break, MISC’s share price gained 1 sen to RM7.90 on 1.69 million shares done.