National oil company Petronas today sealed a RM76 billion contract to supply liquefied natural gas (LNG) to two Japanese firms for 15 years.

In a statement, Petroliam Nasional Bhd (Petronas) said a memorandum of agreement was signed between its unit Malaysia LNG Sdn Bhd, the Tokyo Electric Power Co Inc and Tokyo Gas Co Ltd.

The contract to supply up to 7.4 million tonnes of LNG annually for 15 years beginning 2003, with an option to extend supply for another five years, was valued at about RM76 billion dollars at current prices, it said.

The pact effectively renewed an existing 20-year contract between Malaysia LNG and the two Japanese power and gas utility companies signed in 1983.

"The agreement also serves as a testimony to Malaysia LNG and Malaysia's reputation as a stable, reliable and competitive LNG supplier," Petronas added.

LNG will be supplied to the consortium from Malaysia LNG's plant in Bintulu in Sarawak.

Malaysia, which is currently the world's third largest LNG supplier, supplies about 25 percent of Japan's LNG requirements through nine utility companies in Japan. (AFP)