Mustang Teams Up with Petronas, MISC for Floating LNG Joint Venture

Mustang has entered a joint venture with Petronas and MISC Berhad (“MISC”) to develop integrated floating LNG liquefaction, storage and offloading solutions, using Mustang’s LNG Smart® liquefaction technologies. The joint venture is owned 60 percent by Petronas, 30 percent by MISC and 10 percent by Mustang, and will be headquartered in Kuala Lumpur. The first project-related activity of the joint venture, which will include a project team comprising personnel from Mustang and the other joint venture partners, will be the development of the front-end engineering design (FEED) for a floating LNG vessel, to be located offshore Malaysia. The project is expected to achieve first gas from a floating LNG FPSO facility in 2013.

The joint venture’s business approach is a long-term commitment to assisting gas owners with full project development of gas reserves in Malaysia and other countries worldwide, using cost-effective floating LNG FPSO solutions. The joint venture will also focus on the adaptation, enhancement and development of floating LNG technologies and project implementation with the goal of being the provider of choice for LNG FPSO services.

The joint venture is unique in that it offers a total value chain solution and pairs comprehensive LNG industry knowledge with a global network. Petronas will provide assistance in gas field sourcing and the marketing of LNG; MISC will provide assistance in LNG shipping fabrication, and Mustang will provide engineering design, procurement and project management services related to LNG liquefaction processes and gas pre-treatment for topsides facilities.

Mustang President Steve Knowles commented, “We value the opportunity to bring Mustang’s extensive offshore topsides engineering design experience and new technologies to this team in the floating LNG FPSO market. We look forward to working with our joint venture partners on upcoming project opportunities and expanding our presence in Malaysia.”