Inpex asked to build second LNG train onshore

The government has asked Inpex Corporation as the operator of the Masela gas block in Maluku to build its second liquefied natural gas (LNG) train on shore so that the construction and operation of the train could bring economic benefits to the local people, Kontan reported on Tuesday.

Evita Legowo, the director general of oil and gas at the Energy and Mineral Resources Ministry, said in Jakarta on Monday that the government had asked Inpex to build its second LNG train on Saumlaki island in Southeast Maluku regency.

?If the LNG train is built on the island, it will bring greater benefits to the people,? she said. According to an initial plan, Inpex plans to build a second LNG train with a capacity of between 1.5 million and 2 million tons a year.

Last year, Inpex received an approval from the government to build a floating LNG train to process gas from the Masela block. The company will spend about $5 billion to build its first LNG train for the company?s gas production at the Masela block.

The construction of the train with a capacity of 2.5 million tons a year is scheduled for completion in 2017.(*)