Indonesia scrambling to seek buyers for its excess LNG

State oil and gas company PT.Pertamina said it was eyeing spot markets for Indonesian LNG production surplus after Taiwan, South Korea and Japan buyers asked to drop shipment of 16 LNG cargoes this year.

VP LNG Business Hari Karyuliarto told reporters that Pertamina is eyeing new markets in Asia such as India and China, Europe and USA.? We are reviewing every marketing opportunity,? he said

He said that thus far, the Japan and South Korean buyers had asked to drop 6 cargoes each while Taiwan had asked for four cargoes drop. ?We are trying to persuade them not to cut that much,? he said.

Global economic crises had caused drastic energy consumption in South Korea, Taiwan and Japan, forcing buyers to drop LNG cargoes.

Indonesia is currently producing LNG from Bontang LNG plant in East Kalimantan and Arun plant in Aceh.

An industry source told Petromindo.com that the three countries may further cut 10 cargoes of LNG shipments in June or July this year as economic condition would get worse. (godang)