First cargo from Donggi Senoro LNG to be delivered to Arun
Friday, June 26 2015 - 12:46 PM WIB
The Donggi Senoro LNG (DSLNG) plant in Banggai regency, Central Sulawesi, is scheduled to deliver its first LNG cargo in early August of this year with Arun LNG Storage and Regassification Terminal in Aceh, also known as Arun Regas, as the taker, according to an official at state owned oil and gas firm PT Pertamina (Persero).
"This is a milestone for the Donggi Senoro LNG plant. The first cargo is allocated for the domestic market. From Arun, the gas will be delivered to industries in Medan," VP for LNG, Gas & Power at Gas Directorate of Pertamina, Didik Sasongko Widi told Petromindo.com.
Almost all of LNG from DSLNG plant have been contracted and will be delivered to buyers in Korea and Japan, according to Didik.
DSLNG has signed a heads of agreement to supply Chubu Electric Power Co. (1 mtpa for 13 years), Kyushu Electric Power Co. (0.3 mtpa for 13 years), and Korea Gas Corp. (0.7 mtpa for 13 years). The LNG plant is expected to produce 2.0 mtpa of LNG and 47,000 bpd of condensate.
"On top of the contract volume, DSNLG is able to produce about three more cargoes of LNG. One cargo will be brought to Arun and the two others will be sold on the spot market," said Didik.
DSNLG will also start shipment to overseas buyers in August, starting with the second cargo. ?So starting in August, DSNLG will send two cargoes per month to overseas buyers.?
The US$2.8 billion DSLNG plant is owned by a consortium comprising of PT Pertamina Hulu Energi (29 percent), IDX-listed Medco Energi Internasional Tbk (11.1 percent), and Sulawesi LNG Development Ltd. (59.9 percent). Sulawesi LNG Development Ltd. is a joint venture between Japanese firm Mitsubishi Corporation (75%) and Korea Gas Corp. (25 percent).
Editing by Johannes Simbolon