GE Oil & Gas has secured a contract to supply its gas turbine-driven compressor train and mechanical drive technology to Malaysia’s Petronas.

The equipment will be used for a second floating liquefied natural gas (FLNG) facility, which is being built off the coast of East Malaysia.

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"We are excited to move ahead with the development of our second FLNG facility that will boost our LNG production to help meet Asia’s growing energy needs."

GE said the deal marks another major order with Petronas under a worldwide frame agreement for the supply of equipment between the two companies.

The contract requires GE to provide four of its PGT25+G4 gas turbine generator systems and two nitrogen trains, featuring two LM6000-PF+ 2BCL907 aeroderivative gas turbines in mechanical-drive mode.

GE will manufacture the equipment at its assembly facilities in Florence and Massa, Italy.

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Commercial operation is anticipated to begin in the third quarter of 2017, and once operational in the first quarter of 2018, the second FLNG facility will produce about 1.5 million tonnes per year (mtpa) of LNG.

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Petronas vice-president and venture director of LNG projects (domestic), upstream business, Datuk Abdullah Karim said: "We are excited to move ahead with the development of our second FLNG facility that will boost our LNG production to help meet Asia’s growing energy needs.

"This project marks another important step as we seek to position Malaysia as a strong regional and global LNG market player."

GE has earlier provided turbocompressor equipment to power Petronas’ first FLNG, which is presently being built in South Korea.

The new project will enable offshore LNG production in various smaller gas fields that do not have pipelines to onshore LNG plants.

The second FLNG plant will support the industrial sector’s demand for natural gas in West Malaysia.

Energy