Medco, Lapindo sign MoUs on city gas in Palembang, Surabaya
Monday, March 23 2009 - 05:17 AM WIB
The MoUs were signed by the firm with the Ministry of Energy and Mineral Resources.
Medco E&P, the operator of South and Central Sumatra block in South Sumatra, will supply natural gas from the block to around 4,200 households in Lorok Pakjo and Siring Agung subdistricts in Palembang.
Meanwhile, Lapindo Brantas, the operator of Brantas block in East Java, will supply its natural gas to around 3,200 households in Rungkut Kidul and Kali Rungkut sub-districts in Surabaya.
According to a statement released by the ministry, the gas networks in the two cities will be built using the budgets of the ministry's Directorate General of Oil and Gas and the projects are expected to be completed by end of this year.
The statement also said the government has planned to carry out Front End Engineering Design and Design Engineering (FEED) & Design Construction (DEDC) studies in several cities nearby gas fields and existing gas transmission this year.
The government will also conduct feasibility study on gas supplies to flats in Jakarta, Depok, Tangerang and Bekasi (Jabodetabek).
The government has also planned to build gas networks in Bekasi, Depok and Tarakan (East Kalimantan) in 2010, as part of its city gas development program that will last through 2014. (godang)