Kalla Group: LNG regasification terminal in Banten to come onstream in 2020

By Febry Silaban

A land based LNG receiving and regasification terminal with a capacity of 500 mmscfd (about 4 mtpa) in Bojonegara, Banten Province, which is planned to be built by the Kalla Group, through subsidiary PT Bumi Sarana Migas (BSM), is projected to come onstream in the beginning of 2020.

?The construction of the LNG regasification terminal will start next year and it can start operation in the beginning of 2020,? spokesperson of BSM Nanda Sinaga told Petromindo.com.

BSM said earlier in a statement that the project is made to anticipate the threat of gas deficit in the western part of Java in the future due to depleting gas reserves in Sumatra and rising demand. It added that the project is in line with the government?s wish for the private sector to participate developing infrastructure facilities in the country.

The company said in the statement that it will team up with a partner from Japan in the estimated Rp 10 trillion project, part of which to be financed from loans from Japanese lenders.

Kalla Group is controlled by the family of Vice President Jusuf Kalla.

Editing by Reiner Simanjuntak