Medco to sign gas agreements with PLN
Thursday, June 9 2005 - 03:06 AM WIB
Aditya Mandala, spokesperson of Medco E&P Indonesia, said on Thursday that one of the agreements to be signed in Surabaya was the head of agreement (HOA) for the supply of natural gas by Medco to PLN?s power plant in Keramasan, Palemban, South Sumatra.
Under the HOA, Medco will supply a total of 90 billion cubic feet (bcf) of gas to the power plant over a 10-year period from 2006 to 2016.
The gas will be delivered to PLN from Medco?s Singa field at the Lematang block at the rate of 24 billion British thermal unit per day, according to Aditya.
The second agreement to be signed on Friday is the agreement for an additional gas supplies from Medco to PLN?s power plant in Gunung Belah, Tarakan, East Kalimantan.
Under the existing contract, Medco will supply a total of 9.7 bcf of natural gas to the Gunung Belah power plant from 2004 to 2012. Under the agreement to be signed on Friday, Medco will supply another 4.3 bcf of natural gas to the power plant, brining the total gas supplies to 14 bcf until 2012. (Godang)