Government issues permits for gas pipeline tender
Saturday, July 16 2005 - 03:15 AM WIB
The license is the main requirement that should be fulfilled by the companies taking part in the tender for the construction of the massive gas pipeline project which was opened from May until July 15.
Erie Soedarmono, the director for processing and commercial division at the ministry, said in Jakarta on Friday that as many as 20 companies had applied to take part in the tender.
Five companies including Pertamina, Perusahaan Gas Negara (PGN), Transgasindo, a consortium of Malaysian firm Petronas and local companies, and Trinergi, a consortium comprising Temasek Singapore and local companies, have received their permits earlier.
He said that the bidders of the gas pipeline project were required to apply for permits from the Ministry of Energy and Mineral Resources to ensure that they met the basic requirements set by the ministry.
The construction of the 680-km gas pipelines will be divided into two sections. The first section will cover the construction of 290 km gas pipelines from Cirebon to Semarang. The second section will cover the construction of 390 km gas pipelines linking Semarang and Gresik.
The gas pipeline project which will be built a total cost of about US$538 million will be able to supply between 350 and 500 million cubic feet of gas per day. The winners of the project will be announced in November. (*)