IEV Holdings to expand MNG business in RI
Friday, November 14 2014 - 01:24 AM WIB
SGX-listed IEV Holdings said Thursday that it is exploring the development of its mobile natural gas (MNG) business in other parts of Indonesia, including North and Central Sumatera, Riau Islands and Central Java as the West Java CNG market becomes more competitive.
As part of this plan, the group?s subsidiary, PT IEV Gas, has recently signed an MOU with PT Pertagas Niaga, a subsidiary of PT Pertamina Gas, to purchase LNG from Arun Receiving Terminal in Lhokseumawe for distribution to both industrial and mining market segments in North Sumatra.
In parallel, a MOU was also signed with PT Maxpower to carry out a feasibility study on LNG supply to gas-fired power plants in North Sumatra.
PT IEV Gas has also signed an MOU with the Government of Aceh to jointly conduct a feasibility study to identify and secure natural gas sources from existing gas producing fields, and develop commercialization plans for natural gas utilization within Aceh province.
IEV currently operates a 4.5 million standard cubic feet per day of Compressed Natural Gas (CNG) supply chain in West Java which supplies CNG to industrial customers within a 200km radius without pipeline access, who are using CNG to replace more expensive fuels such as Liquefied Petroleum Gas or Marine Fuel Oil, according to company website.
Editing by Reiner Simanjuntak