BP Migas to appoint Pertamina LNG marketing agent to S. Korea, Taiwan

Indonesian upstream oil and gas authority BP Migas said it would appoint state oil and gas firm PT. Pertamina Tbk. sole marketing agent to sell Indonesian LNG to Taiwan and South Korea.

?BP Migas plans to give sole marketing agent status to Pertamina for existing and new contracts. However, BP Migas must first hear what gas producers think about the the concept,? said Chairman Rachmat Soedibjo in a parliamentary hearing held Thursday.

BP Migas had earlier granted Pertamina sole marketing sole LNG marketing agent to Japan, Indonesia?s top LNG consumer.

Indonesia currently supplies 5.35 MTPA of LNG to South Korean gas distribution firm Kogas and to 2.3MTPA to Taiwan?s utility firm TaiPower. Indonesia had also clinched new contract with South Korean firms refiner SK Corp. and steel maker POSCO.

Indonesia with two LNG plants and another one planned onstream in 2007 centers is currently the world's top LNG exporter, but its dominance had been threatened by emergence of new LNG producers. Indonesia had been trying hard to lure its old customers to extend contracts and open new market beyond its traditional market. (alex/godang)