BPMIGAS, Korean LNG buyers to sign Head of Agreement this month
Tuesday, August 5 2003 - 05:28 AM WIB
Indonesia?s upstream oil and gas authority BPMIGAS will this month sign Head of Agreement (HOA) with South Korea?s Posco and SK Corp. to supply 1.15 million tons of liquefied natural gas (LNG) per year, under a long-term contract, Minister of Energy and Mineral Resources Purnomo Yusgiantoro said Tuesday.
The two parties will sign the HOA in Bali on August 11, and in South Korea on August 14, Purnomo told reporters.
?They are also preparing sales and purchase agreement to follow up on the HOA,? the minister said.
Purnomo said earlier that Posco and SK Corp. had picked BP-operated Tangguh LNG project in Papua for the 20-year contract to supply to the Korean firms 1.15 million tons of LNG annually, starting from 2005.
Tangguh LNG and Petronas? Malaysia Tiga LNG had been declared preferred bidders.
Posco is world?s fourth largest steelmaker, while SK Corp. is South Korea?s largest oil refiner. (godang)