Federal teams up with COOEC and Timas for W. Java LNG terminal EPC

By Alexander Ginting

Singapore-based oil, gas services and procurement company Federal International (2000) Limited announced on Wednesday the signing of an MOU between COOEC, PT Timas and its wholly owned subsidiary, Federal Hardware Engineering Co. Pte Ltd to cooperate exclusively to submit a proposal for the Engineering, Procurement and Construction (EPC) contract in connection with the construction of an LNG terminal in West Java.

The parties are in advanced discussions with the owner of the LNG terminal project and the proposal is to be submitted directly to the owner of the LNG terminal project, the company said.

Based on discussion among the parties, the construction of the LNG terminal is estimated to cost about USD 260 million and will take about 24 months to complete.

Under the MOU, COOEC is to provide financing for the construction, and undertake project management and detailed engineering. Federal will undertake co-management of the project, and will be given the first right of refusal to supply materials for the project.

COOEC, which is listed on the Shanghai Stock Exchange, is a large-scale general contracting company in China, with integrated engineering operations across onshore and offshore oil, LNG and refinery installation, commissioning, and maintenance.

PT Timas is an Indonesian-based EPCI company.