The Energy Market Authority (EMA) in Singapore has shortlisted four companies to participate in Stage Two of its request for proposal (RFP) to import the next tranche of LNG into the country.
In February 2014, EMA introduced a competitive licensing framework to provide Singapore with the flexibility to procure LNG on a tranche-by-tranche basis, in order to meet incremental market demand.
Four months later in June, EMA launched Stage One of the RFP process to appoint up to two importers to meet the next tranche of Singapore’s LNG demand. Stage One closed on 31 December 2014 and saw nine bids from 10 companies. Due to the competitiveness of the bids, EMA has shortlisted four companies to participate in Stage Two, instead of the three originally envisaged.
The shortlisted companies are:
- BG Singapore Gas Marketing Pte. Ltd.
- Pavilion Gas Pte. Ltd.
- Sembcorp Industries.
- Shell Eastern Petroleum (Pte) Ltd.
Stage Two will close on 29 February 2016. During this period, the four shortlisted companies will negotiate and enter into binding commitments with potential LNG buyers, and submit their proposals to EMA by the deadline for evaluation.
LNG in Singapore
EMA will appoint up to two companies to import LNG for Singapore. The appointed importer(s) will each be awarded an exclusive franchise to import and sell LNG in Singapore. This franchise will be valid for three years from the date of licence issuance, or when they have sold 1 million tpy of LNG, whichever is earlier.
Adapted from press release by Katie Woodward
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/29052015/companies-battle-to-import-lng-to-singapore-847/