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Pavilion Gas clinches two-year LNG storage capacity deal

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LNG Industry,

Reuters are reporting that Singapore's Pavilion Gas has won the right to use storage facilities at the Singapore LNG Corp (SLNG) LNG terminal.

The agreement will allow Pavilion Gas the rights to access tank capacity on a segregated basis for storage and reload operations over the next two years.

The statement did not say how much capacity Pavilion was awarded. However, in February, SLNG announced it was offering 160 000 m3 of storage.

Pavilion has recently announced a number of LNG deals in Singapore, which has designs on becoming Asia's trading hub for the fuel.

Pavilion Gas, along with Shell Eastern Petroleum, won the rights to supply Singapore with LNG in 2016, and is due to begin first imports under the contracts this year.

Pavilion Energy, the parent company of Pavilion Gas, also performed Southeast Asia's first truck-to-ship transfer of LNG in May, demonstrating that the city-state was ready to begin LNG bunkering operations.

SLNG's terminal, located on Jurong Island in western Singapore, is the country's sole LNG import terminal. The terminal currently has three 188 000 m3 storage tanks and a regasification capacity of around 6 million tpy. A fourth storage tank, which will add around 260 000 m3 of storage capacity, will be ready in 2018.

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