Singapore GasCo engaging with suppliers for LNG, aims operational readiness by Jan

Singapore GasCo has started engaging with potential LNG suppliers, and the company aims to be operationally ready by Jan. 1, 2026, Chief Executive Alan Heng said at an industry event in Singapore on Oct. 28.

"Our search for long-term contracts has begun," Heng said at the Asia Gas Markets Conference hosted by S&P Global Commodity Insights and held during the Singapore International Energy Week 2025.

In May, the Energy Market Authority of Singapore announced the establishment of Singapore GasCo Pte Ltd, a fully government-owned entity, to centralize the procurement and supply of natural gas to the country's power sector.

GasCo will help centralize the procurement and supply of gas to power generation companies to reap economies of scale and negotiate for more favorable gas contracting terms, the EMA said.

According to Heng, Singapore will be quite well contracted in 2026, so the demand will be relatively small.

However, should any disruptions or new demand emerge, GasCo will be ready to respond, Heng said.

"Now the next step for us is to get out into the marketplace and run a process to build a portfolio," he added.

It is "really important for us to have a mix of portfolio between long-term contracts, shorter-term ones, bridging medium-term contracts, with different price indexations, different geographic reach, and different suppliers," Heng said.

"Now, this is very important because diversity of supply will help create security. And if we have sufficient longevity in prices, we will be able to get affordable prices over a sustained period," Heng continued.

Platts, part of Commodity Insights, assessed the December JKM, the benchmark price for LNG cargoes delivered to Northeast Asia, at $11.102/MMBtu on Oct. 27, down 13.4 cents, or 1.19%, day over day.

"Platts JKM prices are forecast to average $8.8/MMBtu in summer 2026, dropping from winter 2025-26 as the ramp-up of new liquefaction capacity expands supply," analysts at Commodity Insights said in an October report.

Selecting LNG projects

"We will definitely have an element of US LNG in our portfolio," Heng said.

When asked about specific projects, Heng said that GasCo was looking at Alaska LNG just as it was evaluating other LNG projects.

So far, the company hasn't made any formal decisions, Heng clarified.

"We have some ideas about what we want to do. But it really comes back to the RFP [Request for Proposals] process," he said.

"When we run it, we will look at all deals, and we will see where best to place our bets," he added.

On Oct. 24, Glenfarne Group LLC announced that a Letter of Intent had been signed with Japan's Tokyo Gas Co. Ltd related to the Alaska LNG project. The LOI is for the offtake of 1 million mt/year of LNG from the project.

Since becoming the lead developer of Alaska LNG in March, Glenfarne has signed preliminary offtake agreements with major LNG buyers in Japan, South Korea, Taiwan, and Thailand -- including JERA, POSCO, CPC, and PTT -- totaling 11 million mt/year of capacity out of the 16 million mt/year Glenfarne expects to contract to reach financial close for the project.

Other roles

GasCo is also preparing for the possible eventuality of disruption to supply, Heng said.

He cited examples of how GasCo should respond, such as if piped gas to Singapore from its neighbouring countries was shut down in large quantities or if imported electricity did not come to Singapore in the quantity it was supposed to.

GasCo is collaborating with the Energy Market Authority of Singapore for such contingency planning, Heng said.

In addition, GasCo will collaborate with its neighbours, including the Philippines, Thailand, Indonesia, and even Malaysia, although Malaysia is a producer of LNG in quite significant quantities, Heng said.

GasCo will work with partners to help find ways to support each other and collaborate on regional deals and opportunities, Heng added.