Govt mulling over Japan, Korea buyers? request for LNG price cut
Tuesday, October 22 2002 - 03:59 AM WIB
The government is studying the request from Japan and Korea buyers that the price of liquefied natural gas (LNG) sold to them be reduced to the level for the supply to China, a senior government official said on Tuesday as reported by Bisnis Indonesia daily.
Kardaya Warnika, vice chairman of BP-Migas, said on Monday that the Japanese buyers were those whose LNG supply contracts with Indonesia will expire in 2004. They include Tokohu and Tepco, according to Bisnis Indonesia.
He said however the LNG buyers had yet submitted a formal request for price cut.
?They want that the price of LNG going to them be of the same level as the price of LNG to be shipped to Fujian,? Kardaya said.
Indonesia and China signed last month an agreement to supply 2.6 million metric tons per year of LNG to Fujian province over a 25-year period. (*)