Gas sellers, buyers sign $1.88b contracts

Domestic gas producers and buyers signed on Friday six and one heads of agreement (HoA) for the sale and purchase through pipes of gas worth US$1.879 billion.

R. Priyono, chairman of oil and gas upstream regulator BPMIGAS, said the gas with volume totalling 269.9 trillion cubic feet throughout the contract period will be utilized by the electricity, manufacturing, fertilizer and petrochemical industries.

Among the buyers are Perusahaan Daerah Aneka Usaha, a company owned by the Sidoarjo regency adminisration, East Java; PT Bumi Wiralodra, owned by the Indramayu regency administration, East Java; and PT Petrogas Jatim Utama. Both regency-owned firms will use the gas to meet the gas needs in their respective regencies, while Petrogas will use it to expand it city gas business in Surabaya.

Also during the ceremony, the government signed contracts to develop four oil and gas blocks awarded to investors through direct offer mechanism in the Round I 2010 tender. (Godang)

No	Buyer	Seller	Producer	Form of Agreement	Length of Contract/Start (Year)	Allocation	Flow Rate (DCQ) (BBTUD)	Total Volume (BBTU)	Total estimate contract value (million US$)
1	PT Petrokimia Gresik	Kodeco Energy Co, Ltd.	Kodeco Energy Co, Ltd.	Amand. PJBG	3 months/1 Nov 2010	Fertilizer	6	552.00	2.77
2	Perusahaan Daerah Aneka Usaha (BUMD Kab. Sidoarjo)	Lapindo Brantas	Lapindo Brantas	PJBG	10/2011	Industry	2	7,300.00	40.59
3	PT Petrogas Jatim Utama	Lapindo Brantas	Lapindo Brantas	PJBG	6/2010	Industry (City Gas)	2	2,559.00	12.34
4	PT Bumi Wiralodra (BUMD Kab. Indramayu)	PT Pertamina EP	PT Pertamina EP	PJBG	3/2011	Industry	0.5	547.50	2.26
5	PT Pertamina Gas (NGL Plant Pondok Tengah, Pondok Makmur, Tambun)	PT Pertamina EP	PT Pertamina EP	PJBG	4/2011	Industry	Feed Gas : 19.5 Result Extraction : 3	3,960.00	22.72
6	PT Pupuk Kaltim (PKT V)	Pearl Oil Sebuku, Total E&P Indonesie, Inpex	Pearl Oil Sebuku, Total E&P Indonesie, Inpex	HoA	10/2012	Electricity	80 ramp down 20	200,000.00	1,569
7	PT Indonesia Power	Santos Sampang Pty., Ltd	Santos Sampang Pty., Ltd	PJBG	6/2011	-	30	55,000.00	229.73
?							Total	269,918.50	1,879.36