Gresik-Semarang pipeline gets gas allocation

By Godang Sitompul

The government has decided to allocate 100 mmscfd of gas output from the Cepu block for the pipeline to be built by PT Pertagas, a subsidiary of state owned oil and gas firm PT Pertamina, from Gresik in East Java to Semarang in Central Java.

?(The absence of) gas allocation used to be problem for the plan to develop of an integrated gas pipeline across Java. Now, there has been gas allocation for the pipeline. A total of 100 mmscfd from Tiung Barua and Jimbaran fields in Cepu block will be dedicated for the pipeline,? Umi Asngadah, Director of Natural Gas at the Ministry of Energy and Mineral Resources, said on Friday.

Pertagas has planned to develop a 262-km gas pipeline from Gresik to Semarang to meet the gas needs of many areas in Central Java and some areas in East Java. But the firm has put the plan on hold due to the absence of gas allocation.

Umi also said the government has allocated 16 cargoes of LNG for the gas pipeline to be built from Semarang to Cikampek, West Java. But she did not unveil the source of the LNG. But Pertamina has also planned to build an FSRU offshore Semarang.

Editing by Johannes Simbolon