Medco?s Singa field to start commissioning

IDX-listed state gas distribution firm PT Perusahaan Gas Negara (PGN) said on Tuesday the gas commissioning at Singa field in Lematang PSC onshore South Sumatra would start on April 16, PGN?s official said.

PGN?s division head Gamal Imam Santoso told Petromindo.Com that the field will start producing at 5 BBTUD, which will be ramped up to 20 BBTUD, adding that the gas will be channelled to PGN?s SSWJ pipeline.

In early February this year, PGN said that it was in talks to sell gas from Singa field to Chevron?s steamflood facilities in Duri, Riau starting March this year.

PGN's president director Hendi P Santoso said gas from the field will be supplied to Chevron for three years at a volume of 50 mmcfd.

PGN is the offtaker of the Singa gas for three years. Gas from Singa originally would be supplied to state electricity firm PLN?s Muara Tawar power plant in West Java using PGN?s pipeline, but a lack of compressor makes transmission impossible.

Hendi said PGN would add compressor at its pipeline to enable gas from Singa to be supplied to Muara Tawar after Chevron?s contract expires.

IDX-listed energy firm PT Medco Energi Internasional has a 74 percent stake in Lematang with Swedish independent Lundin Petroleum holding the balance. (godang)