HSD contract with KPM to be signed soon: PLN

By Godang Sitompul

PT Kutilang Paksi Mas, which with BP Plc formed a consortium that will supply HSD to gas-fired PLTG Belawan power plant belonging to PT PLN, can expect a contract signing soon after being cleared in a due diligence carried out by the state utility firm.

?KPM has been cleared. We found no problem (in the due diligence). BP?s Fuel depot in Singapore from where KPM will take the HSD is very big and more than enough to fulfill Belawan supply. The signing of purchasing agreement is only a matter of time now,? PLN Head of Oil and Gas Fuel Division Suryadi Mardjoeki told petromindo.com.

The consortium has won the tender to supply 250,000 kl of HSD per year under a three-year contract, starting 2013, but PLN said it still needed to thoroughly inspect the consortium?s readiness under a due diligence process.

Suryadi?s remarks should provide a relief to KPM. Earlier in the day, Arfian Rachmat Putra, Personal Assistant to the President Commissioner of KPM told petromindo.com that the firm was hoping the PLN?s due diligence would result in a signing of purchasing agreement.

Editing by Dadan Wijaksana