Swan Energy, AG&P to form JV for LNG ops, storage unit

Swan Energy has signed a preliminary agreement with Singapore’s AG&P Terminals & Logistics to form a joint venture (JV) to enable supply of liquefied natural gas (LNG) in India and other countries. Swan Energy will hold a 51 percent stake in the JV and AG&P LNG will own the remaining.  The transaction is subject to due diligence by both the parties, and terms will be finalised later. Besides this, AG&P LNG will also collaborate on Swan Energy’s LNG regasification terminal.

The companies will also form another JV for a floating storage and regasification unit (FSRU) and a floating storage unit to operate Swan Energy’s LNG terminal. AG&P LNG will hold 51 percent stake, with Swan holding the rest in the JV. FSRU is a vessel used to facilitate transfer of LNG through oceanic channels by reconverting into the original gaseous state before being pumped out into the storage tanks.