Govt appoints Total as Bontang LPG seller

Monday, May 11 2009 - 01:06 AM WIB

Government has appointed Total E&P Indonesie as seller for LPG production from Bontang LNG plant complex, a BPMIGAS official said.

Head of Oil, Gas Utilization Ira Miriawati told Petromindo.Com last week that LPG production facility at Bontang would resume production in July this year by extracting gas equal to 2-3 cargoes of LNG.

She said state oil, gas company PT.Pertamina has been appointed buyer for all LPG that would be produced from the plant.

Bontang has ceased LPG production since 2005 to meet LNG supply commitment from East Asian buyers amid gas supply shortage from East Kalimantan gas producers. The plant will restart producing liquefied petroleum gas (LPG) this year as its customers cancelled several LNG cargoes due to softening energy demand. (godang)

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