BP, PLN sign MoU for LNG supply to Medan and Jakarta

By Bernard Loebs

British Energy giant BP Plc, the leader of the Tangguh consortium, (MoU) signed on Thursday a memorandum of understanding (MoU) with PT Perusahaan Listrik Negara (PLN) for LNG supplies from the Tangguh LNG plant in West Papua to the latter?s power plants in North Sumatra and Jakarta.

Under the MoU, PLN will get LNG supplies amounting to 230 mmscfd starting October 2013.

?Of the amount, 110 mmscfd is allocated to meet our gas needs in Medan (North Sumatra) and the rest for Jakarta. Regarding the price, it will be decided by Directorate General of Oil and Gas,? PLN?s Head of Oil Fuels and Gas Division Suryadi Mardjoeki said.

The MoU was signed in a ceremony at the Ministry of Energy and Mineral Resources attended by Minister Jero Wacik, BP Group Chief Executive Robert W. Dudeley, BP Indonesia Head of Country Dharmawan Samsu.

Editing by Johannes Simbolon