GE has signed a new seven-year Global Frame Agreement with PETRONAS, Malaysia’s oil and gas corporation. The agreement, which includes an option to renew for a further three years, calls for GE to supply gas turbine packages for PETRONAS’ onshore and offshore projects in Malaysia and other countries around the world.
The signing follows the successful completion of the first frame agreement between GE and PETRONAS signed in 2009, under which GE provided advanced turbo-compression and turbo generation technology for PETRONAS’ Liquefied National Gas (LNG) Train 9 project in Bintulu, Sarawak. Another major milestone was the award of PETRONAS’ Floating LNG project, which is targeted to be the world’s first offshore LNG plant. Designed to produce 1 million tons of LNG a year, the startup of the facility is scheduled for 2016.
“Through these collaborative agreements we achieve the benefits of a competitive CAPEX with lower total cost of ownership, world class equipment availability and reliability and superior support from GE,” said Datuk Wan Zulkiflee Wan Ariffin, PETRONAS Chief Operating Officer and Executive Vice President, Downstream.
“GE is committed to reinforcing our strong, long-term partnership and collaboration with PETRONAS,” said Lorenzo Simonelli, CEO of GE Oil & Gas. “This new agreement allows us to be more closely aligned with PETRONAS so that we can better anticipate their technology needs and streamline the delivery process.”