Gulf Indonesia clinches another Sumatra gas sales deal

Gulf Indonesia Resources, a 99 percent subsidiary of Conoco Canada Resources said on Tuesday that it had signed a gas supply deal from its Corridor Block PSC to JOB Pertamina-Lirik Petroleum, a small local oil-producing field in Central Sumatra. The gas will be used to fuel the company?s power generator.

?The first gas delivery will start June next year, using the existing Grissik-Duri pipeline that transport gas from Corridor Block to Caltex?s steamflood facilities,? said Gadang P. Marpaung, Gulf Indonesia?s gas commercial manager.

He said although the gas volume was relatively small, but it was significant because it was the first domestic gas sales along the pipeline and it could serve as a model for another sales for industries that need gas along the pipeline infrastructure. (alex)