BPH Migas supports PGN?s plan to revive Duri-Dumai-Medan pipeline project

By Godang Sitompul

BPH Migas, the downstream oil and gas regulator, said it fully supported the move by state-controlled gas distribution company PT Perusahaan Gas Negara (PGN) to revive the plan to construct the Duri-Dumai-Medan gas pipeline project.

The pipeline facility could help resolve the lingering problem of the lack of gas supply in North Sumatra, said Hendra Fadly, Director of Natural Gas at BPH Migas.

?In principle, whoever plans to develop gas pipeline infrastructure including PGN which plans to develop the Duri-Dumai-Medan (pipeline) must be appreciated because we?re still lacking infrastructure, especially if it (the project) has obtained permit,? Hendra told Petromindo.com Thursday.

Meanwhile, PGN VP for Corporate Communications, Ridha Ababil said that the company has decided to revive the plan amid greater certainty on the necessary gas supply. ?The option (for the gas supply) is we?re going to acquire two oil and gas blocks. This offers (gas) supply potential,? Ridha told Petromindo.com, but declined to name which blocks would be acquired.

Editing by Reiner Simanjuntak