Singapore LNG Corporation (SLNG) has reached a deal with trading house Trafigura on excess storage capacity within Jurong Island, Singapore.
The agreement allows SLNG, a LNG terminal operator, to optimise its spare capacity utilisation at its LNG terminal, as well as facilitate LNG trading out of Singapore.
SLNG will also provide its storage and reload services to Switzerland-headquartered commodities trader Trafigura.
Trafigura declined to disclose the capacity leased, but Hadi Hallouche, head of LNG at Trafigura, stated that the agreement “demonstrates our commitment to security of supply for our Asian customers”.
In February, SLNG said in its corporate release that it has more than 180,000 m³ of storage available until the end of 2015. Furthermore, the deal with Trafigura is in line with SLNG’s corporate strategy of becoming the LNG trading hub for Asia.
Lately, Trafigura has been aggressive on the LNG trading market. It recently clinched contracts to supply LNG to Argentina, Egypt, and Mexico.