Malaysia's national oil firm Petronas said it has agreed to acquire 30 percent equity in a project to develop a liquefied natural gas terminal in Wales.

A letter of intent was signed with Petroplus Int. NV to buy the stake in its unit Dragon LNG on the proposed project, it said in a statement.

Under the deal, Petronas, Petroplus and BG Energy Holdings Ltd. will jointly develop the terminal complex in Milford Haven, Wales to receive, store, re-gas and deliver LNG to customers, it said in a statement.

Partner pact

BG last month signed a pact with Petroplus to become a partner, with a proposed purchase of a 50 percent equity in the project.

The LNG terminal project, which compromises a 308,000 cubic metre storage capacity, deepwater jetties, a refinery and a co-generationl facility, is expected to become operational in 2007.

Petronas said the move would not only give it access to Britain's LNG market but would enhance its overall position as a major player in the global LNG business. - AFP