LNG this will be the centerpiece of the RGT Yan project in Kedah, where Technip Energies will develop the basic engineering design (FEED) for a new regasification terminal off the coast of Malaysia. The infrastructure will have a planned capacity of 6 million tons per year and will create a new entry point for liquefied natural gas to meet the energy and industrial demands of the northern Malaysian peninsula.
The facility is being jointly developed by Gas Malaysia, Tokyo Gas Asia and VTTI, its estimated investment is between 2 and 3 billion Malaysian ringgits, equivalent to approximately between 490 and 735 million dollars.
Technip Energies will define the FEED design of the Yan RGT
First, the work of Technip Energies the plan includes evaluating different configurations for the regasification terminal. After selecting the appropriate option, the company will complete the FEED (Feedback Evaluation Document), which will establish the necessary technical foundations to move forward with development.
This engineering phase will play a relevant role before the final investment decision (FID), as it will allow for a more precise definition of the technical characteristics of the future infrastructure LNG.
Furthermore, the project has had authorization to proceed since March 2026, granted to Gas Malaysia by the Malaysian Energy Commission. This allows the continuation of engineering, financing, and site preparation work.
Subsequently, in May, Gas Malaysia signed a joint development agreement with Tokyo Gas Asia and VTTI. The Malaysian company is leading the project during this stage while the partners are involved in technical studies, commercial negotiations, regulatory processes and pre-FID management.
A LNG FSRU will be the core of the terminal in Malaysia.
From a technical point of view, the RGT Yan it will have the capacity to handle around 6 million tons of LNG per year the infrastructure will be based on a floating storage and regasification unit (FSRU) installed offshore.
This unit will be complemented by marine infrastructure, a subsea gas pipeline, and an onshore receiving facility. Together, these components will allow for the reception of natural gas LNG, store it and return it to a gaseous state before incorporating it into the supply system.
The configuration will also allow for a new natural gas import route to northern Peninsular Malaysia, this will give the country greater flexibility to respond to changes in industrial and electricity demand.
Malaysia seeks to strengthen the security of its gas supply
Furthermore, the RGT Yan project addresses the objective of increasing the resilience of natural gas supply. The new terminal will provide another LNG gateway and reduce reliance on supply routes concentrated in other parts of the country.
Furthermore, the planned capacity will allow the region to meet its growing energy and industrial demand. Once the remaining technical, commercial, and regulatory phases are completed, the development could become an additional component of Malaysia’s gas infrastructure.
For Technip Energies the award expands its recent portfolio of GLN-related projects; the FEED contract in Malaysia comes less than three months after the company received final authorization to proceed with the engineering, procurement and construction contract for the Commonwealth LNG export plant in Louisiana.
Source: Offshore Energy
Photo: Shutterstock
