Arun project prioritizes gas for Aceh

Friday, September 5 2014 - 01:53 AM WIB

The project of Arun Liquefied Natural Gas (LNG) Receiving, Hub and Regasification Terminal will prioritize gas supply for downstream industries in Aceh, especially Lhokseumawe and northern Aceh, in order to help develop the local economy.

PT Pertamina Gas President Director Hendra Jaya said in a press release issued in Jakarta on Thursday that the Arun project is also aimed to revive industries whose production until now could not be optimized due to shortage of gas. ?So, the Arun project will surely benefit Aceh people,? he said.

The Arun project was scheduled to start operation in October of this year. Currently, it has been 95 percent completed.

The industries in Aceh which are expected to revive production activities after the operation of Arun project include PT Pupuk Iskandar Muda, Asean Aceh Ferilizer (AAF), Kertas Karf Aceh (KKA), and Humpus Aromatik.

Hendra noted that even Lokseumawe and North Aceh will be able to develop new industrial zones outside the current oil and gas sector, as the Arun plant will have enough gas to fulfill such zones? gas needs.

According to him, Pertagas, as the holding company of PT Perta Arun Gas, is open for public participation in developing and managing the Arun project. ?We?re ready to discuss this with all stakeholders on how to optimize the Arun project to generate the local economy,? he added.

The Arun regasification project is integrated with a 350 Km Arun-Belawan gas pipeline with a capacity of 400 MMSCFD. Through the pipeline, it will also supply gas for industries in Medan, North Sumatera. As the pipeline construction had been finalized 95 percent, Pertagas is confident that it will be able to start operation with a commissioning in October this year.

?We guarantee the Arun plant will be able to provide a sustainable gas supply. All stakeholders should not be worried over the sustainability of gas supply,? he said.

Editing by Benget Besalicto ST

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