BP to conduct study on gas supply to industries in Bintuni

By Godang Sitompul

BP, as the operator of Tangguh LNG project, is mandated under the newly signed POFD (plan of further development) to carry out a joint study on the provision of up to 180 mmscfd of gas supply for the fertilizer industry in Bintuni area, Widiyawan Prawiraatmadja, Deputy of Planning at SK Migas, told petromindo.com.

As part of the POFD, BP and its partners have also committed to a comprehensive package to help address Indonesia?s LNG requirements as well as local energy needs in Teluk Bintuni Regency. Up to 40 percent of the LNG output will be supplied from Train 3 to Indonesia?s state electricity company PT PLN for the Indonesian market.

In addition, as part of the plan up to 15 million standard cubic feet a day of piped gas, supplied from the Tangguh fields and sufficient to generate up to 50MW of local power, would be allocated for sale from the date of the Train 3 start-up. This would supply and enable local infrastructure and commercial business as well as stimulate light industrial development, particularly in the North Shore villages of Teluk Bintuni Regency and beyond.

The BP-led Tangguh consortium plans to invest up to US$12 billion to develop the Train 3 facility with a 3.8 mtpa capacity which will bring the total capacity of the LNG plant in West Papua province to 11.4 mtpa. The Train 3 is expected to start producing in the first quarter of 2019.

Editing by Dadan Wijaksana