Grissik-Batam-Singapore gas pipeline costs US$400 million
Friday, May 11 2001 - 04:30 AM WIB
The construction of the 468-kilometer gas pipeline which will link Grissik in South Sumatera, Batam and Singapore will be commenced by the end of this year, according to the top executive of the state owned gas company PGN.
Nursobagio Prijono, a PGN director said that the construction of the gas compressor would be started in October, this year. "We hope the whole project would be completed in the middle of 2003," he told Riau Pos following a meeting with Riau's deputy governor Rustam S. Abrus on Thursday.
Nursobagio said that the construction of the gas transmission network would cost about US$400 million and most of the funds would be provided by the Asian Development Bank and several international financial agencies in the form of soft loans.
He said that the state owned gas company would provide the rupiah financing to fund environmental study, survey and land acquisition and other local spending.
According to him, the gas compressors would be built at Sakaern, in the Batanghari regency in Jambi and in Rengat in Riau's Indragiri regency.
The pipeline, which has a diameter of 28 inches, will transmit gas from gas fields in South Sumatera and South Jambi Block and Jabung Block with a capacity of about 465 million cubic per day.(*)