Industrial gas giant
Air Products & Chemicals Inc.
) has received an LNG heat exchanger order from Malaysian
integrated oil and gas company Petroliam Nasional Berhad
(PETRONAS) for a major LNG Train 9 project at the Bintulu
facility in Malaysia. As per the deal, Air Products' SplitMR
liquefaction process and technology will be supplied to the
PETRONAS LNG Train 9 Project.
The PETRONAS LNG Train 9 Project is an extension of an already
existing PETRONAS LNG Complex in Bintulu, Sarawak, Malaysia. The
project is expected to produce 3.6 million tons per year (MTPY)
of LNG. The company targets to start its operations by end of
The collaboration between Air Products and PETRONAS dates back to
1983 with PETRONAS first train becoming operational. The
collaboration continued for 20 years where Air Products' has
provided multiple LNG trains, technology and equipment to
In total, Air Products' LNG technology and equipment is used in
PETRONAS's eight existing production trains designed to produce
25.7 MTPY of LNG. LNG production is expected to be 29.3 MTPY with
the addition of the ninth train incorporated with Air Products
involvement at the Bintulu facility by the end of 2015.
Air Products' LNG heat exchanger order represents the second
order coming in a year from PETRONAS. This first order one was
for an AP-N LNG process for PETRONAS' Floating LNG Project 1
(PFLNG 1) in Jul 2012.
The AP-N LNG process used will be the most efficient of all
nitrogen recycle LNG processes in the LNG industry as it can be
ideally suited for FLNG applications. PFLNG 1 is a floating LNG
production platform that will operate 180 kilometers off the
coast of Malaysia. This project is anticipated to produce 1.2
million tons per year of LNG when it is operational in late 2015.
When both the new projects are operational at PETRONAS' two
operated locations, Air Products' technology and equipment will
play an integral part in the production of an additional 4.8 MTPY
of LNG in Malaysia.
Air Products currently holds a short-term Zacks Rank #3
Other companies in the chemical industry that are worth
Eastman Chemical Co.
LyondellBasell Industries NV
). All of them carry a Zacks Rank #2 (Buy).
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