According to a statement by Singapore-based LNG Alliance, Amigo LNG will supply 3.6 mtpa of LNG to E&H for the Malaysian market over 20 years.
The LNG supplies are expected to start in the third quarter of 2027.
Amigo LNG
LNG Alliance says Amigo LNG is the only project in the region with both FTA and non-FTA permits from the US Department of Energy, valid until December 2027.
The project is being developed in close cooperation with the State of Sonora and is located adjacent to the Port of Guaymas in Sonora, Mexico.
LNG Alliance previously said the project will include one 4.2 mtpa train and with a potential to add a second train of 3.6 mtpa of LNG.
It will receive feed gas from the Permian shale basin in the US via existing pipeline networks.
On the other hand, E&H Energy, established in Malaysia in 1993, has been active in the gas business since 2010.
The company currently operates CNG and LNG facilities in Johor, with an expanding footprint in Malaysia, the statement said.
In May 2018, E&H Energy Group became one of the first private companies in Malaysia to be awarded an LNG import license under the third-party access initiative of Malaysia’s Energy Commission.
Biomethane
“This partnership supports our strategy to focus on supplying the growing Southeast Asian LNG market and capitalizes on the unique logistics solutions that Amigo provides, optimizing shipping routes to the region,” said Muthu Chezhian, CEO of LNG Alliance.
He said the implementation of Amigo LNG “underscores Mexico’s national commitment to a sustainable future.”
“One of the initiatives includes using biomethane produced locally from organic waste-based feedstock in Sonora, which will be processed and blended with imported US natural gas,” Chezhian said.
LNG Alliance projects
LNG Alliance, established in 2013, previously announced several projects around the globe.
The company said in 2020 it had opened a new office in India’s Chennai as part of its plans to invest in the country’s growing LNG sector.
It also revealed plans to build a large LNG import terminal in the southern Indian state of Karnataka.
Besides Mexico, India, and Indonesia, the company previously said it was working on a development in Montenegro as well.
