Govt mulls mini LNG receiving terminal in eastern Indonesia

Tuesday, March 26 2013 - 01:39 AM WIB

By Romel S. Gurky

The government is considering the possibility of developing small and medium-scale LNG receiving terminals in the eastern part of Indonesia, according to a senior official.

Director General of Oil and Gas at the Ministry of Energy and Mineral Resources, A. Edy Hermantoro said Monday during a seminar that Indonesia must have two types of gas infrastructure facilities, pipeline and receiving terminal.

For the eastern part of Indonesia, where most of the gas reserves are located in the deep sea, it?s more feasible to develop receiving terminal.

Edy said that if approved, development of the planned receiving terminal will be financed by the state budget.

The government this year is developing a gas pipeline network in the Greater Jakarta Area. In addition, the government is also teaming up with state-owned oil and gas firm PT Pertamina to develop an oil refinery in South Sumatra, financed via the state budget, which is targeted to be completed in 2019.

Editing by Reiner Simanjuntak

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