The one-of-its-kind terminal is operating at a 15% utilisation rate currently.
PETALING JAYA: Petronas Gas Bhd
’s (PetGas) Regasification Terminal Sungai Udang (RGTSU), which is equipped with advanced technology, is poised to meet the future demands for natural gas and expected to reach full utilisation by 2026.
The one-of-its-kind terminal, which is able to provide a regasification volume of up to 500 million standard cubic feet per day (mmscfd), is operating at a 15% utilisation rate currently.
RGTSU is the first liquefied natural gas (LNG) regasification terminal in Malaysia which began commercial operations in June 2013 to support energy security in the country.
PetGas gas transmission and regasification head Burhan Abdullah expects a gradual increase in demand for natural gas, mainly due to the national utility company’s commitment to retiring coal-fired plants in favour of natural gas, a cleaner alternative for power generation.
Burhan said the terminal is responsible for transporting sales gas to shippers’ end customers across the peninsula gas utilisation (PGU) pipeline network, with an overall length of 2,623 km.
It also receives imported LNG, storing it in floating storage units before converting the LNG to sales gas, besides offering bunkering services for ships.
“Currently, in the low-demand environment, we have one shipper every month. At full capacity, we can cater to one shipper every week,” Burhan told the media during a visit to the terminal in Melaka.
Burhan explained that at present, there were four entry points into the PGU pipeline network – Kertih, Pengerang, Sungai Udang and Songkhla, Thailand – and the PGU pipeline network had the capacity to transport up to 3,500 mmscfd.
The gas-processing unit in Kertih holds the largest share with a send-out capacity of 1750 mmscfd, while the gas-processing unit in Songkhla, part of the Malaysia-Thailand joint development area, has a capacity of 350 mmscfd.
These operations are complemented by RGTSU and the Regasification Terminal in Pengerang, Johor (RGTP), with capacities of 500 mmscfd and 490 mmscfd, respectively.
Meanwhile, PetGas’ regasification terminal head Mohd Isham Isa highlighted that the group has been at the forefront of digitalisation by future-proofing the business against operational challenges such as the Covid-19 pandemic.
He pointed out that RGTSU had successfully adopted a 5G private network, making it the first in Malaysia to embrace 5G technology for enterprise use.
This advancement has successfully optimised its internal operations and instigated industry-wide change, he added.
With this advancement, the group has also established a unified operations centre, enabling the remote operation of both RGTSU and RGTP from Segamat, Johor.
Additionally, he also demonstrated the group’s use of drone technology to detect thermal changes to identify leakages in the pipeline within the terminal in advance.
PetGas is also in the process of testing robots for inspections within the terminal, exploring innovative solutions to further enhance operational efficiency, Mohd Isham added.
Looking further ahead, Burhan expressed the group’s ambition to establish Malaysia as the Asean hub for natural gas.
To achieve this, he emphasised the necessity of extending the PGU pipeline network to Bangkok, where it currently only reaches up to Songkhla. With this, he believes the group will be able to cater to a larger consumer base.
Burhan said demand in the peninsula fluctuated, but on a typical afternoon when demand seems to reach its peak, the reading is about 2,200 mmscfd, which the group has no difficulty in meeting.
When asked about the demand in Thailand, Burhan said it was easily double the amount in the peninsula. He is confident PetGas can meet these demands, given its consistent demonstration of operational efficiency and capacity.
