Indonesia expects to supply more gas to S. Korea

Indonesia expects to supply more liquefied natural gas (LNG) to South Korea despite that country?s plan to transfer LNG import contracts following planned privatization of state-run Korean Gas (KOGAS), the president director of state oil and gas firm Pertamina, Baihaki Hakim said on Wednesday.

Speaking to reporters after meeting with President Megawati Sukarnoputri, Baihaki said the President?s visit to South Korea, scheduled for March, is related to the government?s determination to secure gas sales to that country amid the liberalization of its energy sector.

?If possible, the current export level can be maintained. We would be grateful if it could be increased. Accordingly, G to G approach is very important,? Baihaki said

South Korea is seeking agreement from its major suppliers on LNG import contract transfers ahead of the privatization of KOGAS.

A 21-year contract for 2.3 million tons of LNG with Indonesia ends in 2007 and Korea Gas has two more long-term contracts with Indonesia -- a two-million ton supply contract between 1994 and 2014 and a one-million-ton contract to 2017 from 1988.

Indonesia is the biggest LNG exporter in the world with more than 23 million tonnes a year, mainly to Japan, South Korea and Taiwan. (leo)