IEV gets CNG supply contracts from Indofood
Monday, April 21 2014 - 02:53 PM WIB
SGX-listed IEV Holdings Limited, a provider of integrated engineering solutions and clean energy solutions, announced on Monday that its subsidiary, PT IEV Gas has entered into two separate Gas Sales Agreements (GSA) to supply compressed natural gas (CNG) to two divisions of PT Indofood CPB Sukses Makmur Tbk, namely the Noodle Division and the Nutrition & Special Food Division manufacturing plants in Padalarang, Bandung for a period of 12 and 24 months respectively.
Pursuant to the GSAs, PT Indofood will, over the respective supply periods, purchase more than 600,000 million British thermal units (mmbtu) of CNG (the nominal volume) at a fixed price per mmbtu of CNG, for both manufacturing plants in its Noodle and Nutrition & Special Food Divisions. Indofood has also committed to a minimum off-take of eighty percent (80 percent) of the nominal volume during the supply periods.
The manufacturing division of Indofood is located approximately 95 km from PT IEV Gas? CNG processing plant in Cikarang, West Java.
Barring any unforeseen circumstances, the revenue from the GSAs is in excess of US$9 million, based on the nominal volume, the firm said in a statement.
Editing by Johannes Simbolon