MISC Bhd will convert one of its Puteri Satu Class liquefied natural gas carriers, namely Puteri Delima Satu, which completed her long-term charter in early 2023 and is currently in lay-up, into a floating storage unit.

KUALA LUMPUR (Oct 30): MISC Bhd has bagged a contract to supply, operate and maintain a liquefied natural gas (LNG) floating storage unit (FSU) in Pengerang, Johor with an estimated contract value of up to US$213.7 million (RM1.02 billion).

The vessel operator said it has entered into a binding heads of agreement (HOA) with Pengerang LNG (Two) Sdn Bhd — a 65%-owned unit of Petronas Gas Bhd (PetGas) to supply, operate and maintain the FSU.

“MISC will convert one of its Puteri Satu Class LNG carriers, namely Puteri Delima Satu, which completed her long-term charter in early 2023 and [is] currently [in] lay-up, into the FSU for the above-mentioned provision.

“The agreement is valid for a period of 20 years from the expected operation date of 2025 and may be extended for a period to be agreed between parties,” it said.

MISC currently operates two FSUs, as well as six floating production, storage and offloading (FPSOs) vessels and five other floating storage and offloading (FSO) vessels.

Shares in MISC slipped one sen or 0.14% to RM7.24 at noon market break, giving it a market capitalisation of RM32.32 billion. The counter is down 3.47% this year.