Indonesia, Mitsubishi in talks on LNG deal

The government of Indonesia and Japan?s Mitsubishi Corporation were talking about an opportunity for the former to supply natural liquefied gas to the latter?s planned LNG terminal at Long Beach, California, an Indonesia official said on Wednesday.

Eddy Purwanto, a senior official of Indonesia upstream oil and gas authority BP Migas, told Petromindo.com that Mitsubishi had planned to build California?s first liquefied natural gas (LNG) terminal with an annual capacity of five million tons.

The terminal was aimed at meeting increased energy demand in the United States' state, Purwanto said.

Mitsubishi was considering Indonesia as one of the candidates for supplying LNG to Long Beach, the company said recently.

Federal Reserve Bank chief Alan Greenspan once said the U.S. would not have any natural gas and it must import gas through pipeline or in the form of LNG.

Indonesia exports LNG to Japan, South Korea and Taiwan from its LNG trains in Arun, Aceh and Bontang, East Kalimantan. (Godang)