DSLNG plant to receive gas supply mid-2015
Thursday, October 9 2014 - 12:52 AM WIB
The block is operated by Joint Operating Body Pertamina Medco Tomori Sulawesi (JOB PMTS), which is the main feed gas supplier for the DSLNG plant, with a supply commitment of 250 mmscfd.
In addition, the plant will also receive gas supply from the Matindok block, which is operated by Pertamina EP Matindok Gas Development Project (MGDP) totaling 85 mmscfd. MGDP scheduled its portion of gas will be delivered in two phases, with the initial delivery volume expected by December 2015 and the second phase delivery by March 2016.
?DSLNG plant is expected to be in full production once the total required feed gas from both upstream parties which are JOB PMTS and MGDP is available,? said plant operator PT DSLNG in a statement issued Wednesday following the inauguration of several energy projects including the DSLNG plant by Coordinating Minister for the Economy Chairul Tanjung.
The US$2.8 billion DSLNG plant, the country?s fourth, has the capacity to produce two million tons per year of LNG. The project is a partnership between PT Pertamina, PT Medco Energi Internasional Tbk, Mitsubishi Corporation, and Korea Gas Corporation. PT DSLNG?s scope of business is to process natural gas to liquefied natural gas.
DSLNG has contracts to supply 1 million tons per year of LNG to Chubu Electric Power Co Inc, 300,000 tons per year to Kyushu Electric Power Co Inc and 700,000 tons per year to Kogas, reports have said.
The Donggi Senoro LNG project is the first under the downstream business scheme, which separates the gas production at the upstream and the liquefied natural gas processing at the downstream. The downstream business development allows optimization of state revenue because the LNG plant investment is not subject to cost recovery, PTDSLNG said in the statement.
?We are grateful and proud that the Donggi Senoro LNG plant allows marginal gas reserve in Sulawesi to be monetized. The plant is currently in phase of commissioning of utility and safety system,? stated PT DSLNG President Director Gusrizal.
Editing by Reiner Simanjuntak