BPMIGAS to meet with Sempra over LNG diversion

By Godang Sitompul

A team of upstream authority BPMIGAS is scheduled to meet Sempra Energy in the United States of America on Monday to finalize the agreement over diversion of LNG supposed to be shipped from Tangguh to Sempra.

Vice Chairman of BPMIGAS Hardiono told Petromindo.com that BPMIGAS' team arrived in the US on Sunday and is ready to begin discussion on the LNG diversion.

Hardiono however declined to give any further details on the scheduled talks with Sempra. Earlier, he said BPMIGAS was seeking to divert up to 1.4 million tons per annum (mtpa) of LNG, including to domestic buyers.

State electricity company PT PLN and gas distributor firm PT Perusahaan Gas Negara Tbk (PGN) earlier had expressed interest to secure gas from the Tangguh LNG project which is operated by BP.

Under the original contract, Tangguh LNG was allowed to divert up to 50 percent of the annual volume by paying fee of US$1/mmbtu to Sempra.

Tangguh LNG has long-term contract to sell 3.7 mtpa of LNG to Sempra.

Editing by Roffie Kurniawan