BPH Migas to open tender for Cirebon-Semarang-Gresik gas pipeline projects

Regulator body for oil and gas downstream operations BPH Migas is ready to open the pre-qualification tender for the construction of two pipeline projects on Java Island, which was originally scheduled on March 30, following the completion of gas pipeline’s master plan.

“The government has approved the master plan of natural gas transmission and distribution network. Therefore, the pre-qualification tender (for the pipeline projects) should be started next week,” a committee member at BPH Migas Hanggono Tjahjo Nugroho said Wednesday.

The projects are to develop gas pipeline with transportation capacity of 350-500 million standard cubic feet per day which is targeted to supply gas for industries and households in Java.

The new gas pipeline facility is divided into two phases: (1) Cirebon-Semarang line along 290 km and (2) Semarang-Gresik line along 390 km that needs an estimated investment of around Rp 4 trillion to Rp 6 trillion.

Earlier reports said that the bidders would include Mitsui and Sumitomo, both of Japan and a consortium of national companies Rekayasa Industri and PT KAI. (godang)