Amigo LNG and E&H Energy sign a 20-year agreement for the export of liquefied natural gas (LNG) to Malaysia.
From 2027, Amigo LNG will supply E&H Energy with 3.6 million tonnes of LNG per year.
This agreement comes against a backdrop of liberalization of the Malaysian gas market, overseen by the Malaysian Energy Commission.
The growing demand for gas, particularly for power generation, is fuelling this initiative, aimed at diversifying Malaysia’s energy sources.
The agreement is structured around Amigo LNG’s existing infrastructure, located near the port of Guaymas in the Mexican state of Sonora.
This project benefits from a favorable geographical position, facilitating exports to Asia via optimized maritime routes.
Sonora: an energy crossroads to Asia
Amigo LNG’s Sonora facility plays a key role in this partnership.
As the only facility in the region with both FTA and non-FTA approvals from the U.S. Department of Energy, Amigo LNG is strategically positioned to serve Asian markets.
The liquefaction and export infrastructure is specifically designed to meet growing Asian demand.
This collaboration is part of Sonora’s drive to strengthen its position as a regional energy hub, capitalizing on its proximity to Asian markets and access to Pacific shipping routes.
The delivery of LNG by Amigo LNG to E&H Energy is part of a wider redeployment of energy flows between America and Asia.
LNG market outlook
This agreement reflects a broader trend of growing LNG demand in Southeast Asia.
By aligning its operations with the needs of the Malaysian market, Amigo LNG secures a stable supply for E&H Energy, contributing to Malaysia’s ongoing energy transition.
This transaction strengthens the energy relationship between Mexico and Malaysia, while diversifying sources of supply for both countries.
The 20-year structure of this agreement illustrates the willingness of both parties to commit to the long term, anticipating developments in the LNG market and meeting the growing demands for energy security and logistical efficiency.