Gas supply for PGN in Banten is sufficient: SKK Migas
Wednesday, May 8 2013 - 01:53 AM WIB
Upstream authority SKK Migas said that the move by PT Pertamina EP to stop gas supply to gas distribution firm PGN specifically for distribution in Serpong, Banten, should not cause for an alarm as the gas volume allocated to PGN for the Banten region has already exceeded the actual requirement.
?Just ask them (PGN), the gas volume allocated to them (PGN) has been in excess,? SKK Migas Chairman Rudi Rubiandini told Petromindo.com Wednesday.
He said that the gas for PGN does not have to come from PEP, but may also come from other sources including ConocoPhillips. ?The gas can come from anywhere, doesn?t have to come from PEP.?
As reported earlier, PEP, a subsidiary of state-owned oil and gas firm PT Pertamina, has decided to discontinue the supply of 26 mmscfd of gas to PGN specifically for delivery to Serpong, in Banten, and Sunyaragi, in West Java, amid the expected production shortage as the company plans to jack up the platform at the L-Parigi field offshore Java in August of this year.
PEP, however, expects PGN to be able to continue serving its consumers in Banten and West Java as the company continues to get supplies from ConocoPhilips (372 mmscfd), Sumatra via the South Sumatra-West Java pipeline (123 mmscfd), and also from PEP (contract 250 mmscfd).
A PGN official, however, warned that disruption in the supply of gas to industrial customers in Banten may cause serious harm as it would affect the operation of manufacturing industries in the region particularly in the eastern part of Banten which employ about 70,000 workers.
Editing by Reiner Simanjuntak