Medco Power plans three gas-fired power plant projects
Wednesday, December 28 2016 - 05:03 AM WIB
Petromindo
PT Medco Power Generation Indonesia, a subsidiary of IDX-listed energy company PT Medco Energi Internasional Tbk, plans to develop three gas-fired power plants at its gas field projects to help absorb the gas output, Koran Tempo reported on Wednesday.
The paper quoted Medco Power President Director Lukman Mahfoedz as saying that the company will propose a gas-fired power plant in Kuala Langsa, Aceh Province, to absorb gas output from the Block A project.
Medco E&P, a subsidiary of Medco Energi, operates the Block A with a 41.6 percent interest. The company is in the process of completing the acquisition of another 26.6 percent stake in the block from KrisEnergy, which is reducing its 41.6 percent stake. Another 16.67 percent stake is held by Japex. Block A is expected to come on stream in the first quarter of 2018.
Medco Power is also planning to build gas-fired power plants at its Senoro gas field project in Central Sulawesi and Simenggaris block in North Kalimantan, with capacity of 100 MW, Lukman said, adding that the company is currently conducting feasibility studies for the planned projects.
JOB Pertamina-Medco E&P Simenggaris, the operator of the Simenggaris block, plans to develop a mini LNG plant with a capacity of 30-35 mmscfd in a bid to monetize stranded gas in the Simenggaris block using the Donggi Senoro LNG plant in Central Sulawesi as a model.
Upstream authority SKK Migas said previously that state-owned electricity company PLN and state-owned oil and gas firm PT Pertamina are seen as potential buyers, respectively with a volume of 5 and 25 mmscfd.
As of November of last year, SKK Migas said that the Simenggaris block had produced 0.5 mmscfd of gas, distributed to a power plant in Tana Tidung regency, North Kalimantan.
The Simenggaris PSC is located in Tana tidung regency, North Kalimantan province bordering to the Malaysian state of Sabah. The block is operated by JOB Pertamina-Medco E&P Simenggaris (JOB-PMEPS), in which Medco holds 62.5 percent interest and the balance is owned by Pertamina. (*)