Sabah Energy Corporation Sdn Bhd (SEC) announced its 3rd phase Gas Distribution initiative which will entail distributing Natural Gas in liquefied form.

This 3rd Phase initiative which was launched by the Chief Minister, YAB Datuk Seri Panglima Musa Haji Aman.

SEC is partnering with Zhangjiagang Furui Special Equipment Co. Ltd. (FURUISE) to set up a Company known as SEC Gas Sdn. Bhd. to build, own and operate a new facility in KKIP to convert natural gas from its gaseous form to liquid. This natural gas in liquid form will then be distributed in tankers to its customer’s premises. SEC will be the majority partner while FURUISE the technology provider will hold a minority stake in the new company.

Dato’ Harun Haji Ismail, the Chief Executive Officer of SEC explained that SEC has been distributing natural gas which is a cleaner and cost competitive energy, by pipeline since 1986. This 1st phase of distribution by pipeline was then followed by an alternative approach to bring natural gas beyond the boundaries of the physical pipeline network. The alternative 2nd Phase known as the Virtual Gas Pipeline System (VPS) of delivering Compressed Natural Gas which was launched in 2012 enabled SEC to increase the gas delivery volume by four times. SEC is now supplying natural gas to 22 customers within the greater Kota Kinabalu area.

Dato’ Harun added there are other segments of energy users that require SEC’s natural gas which is cleaner and cheaper than alternative fuels. Some of these users have however been constrained by either their individually smaller consumption, faced space constraints for the larger Compressed Gas containers or are located further than the range of the existing VPS delivery system. The availability of liquefied natural gas launched under this 3rd phase will be able to overcome these constraints. SEC Gas Sdn. Bhd.’s facility is the first of its kind in Malaysia and liquefied gas is expected to be available for distribution in about 12 months from today.