Indonesia Power gets gas supply from Pertamina?s C. Java gas field

Tuesday, September 11 2007 - 01:40 AM WIB

PT Indonesia Power (IP), the power generation unit of state owned electricity firm PLN said that its Tambak Lorok combined cycled power plant in Semarang, Central Java would receive gas supply from Pertamina's Gundih gas field in the province.

 

IP's Production Director Achmad Sadikin said that the combined cycle power plant which has a capacity of 1,000 megawatt would receive gas supply of about 50 million cubic feet per day (MMCFD) from the gas field beginning 2010.

 

According to him, the price of gas is about $4.8 per million British thermal unit (MMBTU).

 

The Tambak Lorok power plant which has six units could use both gas and diesel oil as its fuel. As the plant still relies much on the costly diesel oil due to the lack of gas supply, its operation is halted every Saturday and Sunday. The plant needs at least 4,000 kiloliters of diesel oil a day.

 

Besides the Tambak Lorok power plant, the Gundih gas field will also supply about 50 MMCFD to the Rembang gas-fired power plant in, Central Java . The gas transmission which is under 12 year contract is expected to start in January 1, 2010.

 

The Rembang gas-fired power plant is an independent power producer (IPP) operated by a consortium of three companies, including Indonesia Power and Titis Sampurna.

 

Based on the agreement, the gas will be sold to the Rembang power plant at a price of US$2.7 per MMBTU with three percent escalation per year.

 

Gas reserves in Gundih field reaches 0.4 trillion cubic feet.

 

Last month, Sadikin said that IP was also hoping to be able to get gas supply of another 50 MMCFD from Cepu block to meet the gas needs of the Tambak Lorok power plant which reaches about 200 MMCFD. (godang)

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