Malaysian offshore service provider Coastal Contracts has entered into a binding memorandum of understanding to acquire 215 ordinary shares in JSK Gas from Indonesia’s PT. Jaya Samudra Karunia International (JSK) and Yudha Kurniawan Tanos for a total of $6.55m.
The deal gives Coastal Contracts a 49% stake in JSK Gas, making it a jointly controlled entity of the company.
“The proposed joint venture is in line with the initiative of the CCB Board of Directors to tap into the growing LNG supply chain and to further expand its business activities in the LNG downstream sector. With this acquisition, together with JSK, as the owner of FRU and FSU that form essential part of the infrastructure to support the 200MWh power plant, CCB will be able to build a new portfolio of LNG related business which is core to the LNG downstream sector, especially for small-scale FSRU which is suitable for archipelagic region, less capital intensive and requires shorter construction period,” Coastal Contracts said in a release.
JSK Gas provides floating LNG services across the entire midstream LNG chain as well as floating power plant services.