KUALA LUMPUR (Dec 31): Petronas Gas Bhd (PetGas) entered into three sale and purchase agreements (SPAs) with Petroliam Nasional Bhd (Petronas) to buy the minimum amount of gas required to operate its Peninsula gas utilisation pipeline and liquefied natural gas (LNG) to run its regasification terminal’s storage tank in Melaka and Johor.

In a filing with Bursa Malaysia, PetGas said the first SPA involved the purchase of a minimum amount of gas, or known as Linepack, required to operate its Peninsula gas utilisation pipeline.

Meanwhile, PetGas said its wholly-owned subsidiary Regas Terminal (Sg Udang) Sdn Bhd executed another SPA for the purchase of the minimum amount of LNG required, or known as Heel, to operate Regasification Terminal Sungai Udang, Melaka.

Additionally, PetGas’s 65%-owned subsidiary Pengerang LNG (Two) Sdn Bhd executed an SPA for the purchase of Heel for Regasification Terminal Pengerang, Johor.

PetGas said the total purchase consideration for the Linepack and Heel is RM108 million.

PetGas said these purchases, which will be funded through internally-generated funds, were done in accordance with Third Party Access Code implementation published by the Energy Commission pursuant to the Gas Supply (Amendment) Act 2016 (TPA Codes).

PetGas closed 20 sen or 1.05% higher at RM19.20 today, giving it a market capitalisation of RM37.99 billion.