The Southeast Asian country generates about 805 of its electricity from gas and currently imports all of its gas from neighbouring Indonesia and Malaysia.
If Singapore is seeking to diversify supplies by taking LNG from a nearby politically stable and reliable supplier, Australia must be the frontrunner to supply this gas.
The 3 million tonne per annum LNG terminal is expected to be operational in 2012, Minister for Trade and Industry Lim Hng Kiang said.
In the second half of next year, Singapore’s Energy Market Authority will invite prospective investors to bid to build and operate the terminal, Lim said.
