Perta Arun Gas, PBAS sign MoU on LNG business

PT Perta Arun Gas and PT Patra Badak Solution (PBAS), both subsidiaries of state owned oil and gas firm PT Pertamina, have signed a Memorandum of Understanding to cooperate in operating and maintaining the Arun LNG terminal in Lhokseumawe, Aceh, Pertamina said in a statement obtained on Thursday.

The MoU was signed by Perta Arun Gas?s President Director Teuku Khaidir and President Director of PBAS Nanang Untung in a ceremony attended by Pertamina?s Gas Director Hari Karyuliarto.

Under the MoU, PBAS will handle the maintenance of Arun LNG terminal, while Perta Arun Gas will handle the operation of the terminal.

Perta Arun Gas was set up by PT Pertamina Gas with 70 percent interest and the Aceh administration with 30 percent interest last year to modify the Arun LNG plan into an LNG storage and regassification terminal and to operate the facility once the project has been completed.

Meanwhile, PBAS, founded by Pertamina on May 21, 2014 as a result of the conversion from PT Patra Teknik, which was a subsidiary of PT Patra Niaga, PT Arun NGL and PT Badak NGL, according to Pertamina.

As a subsidiary of the gas directorate of Pertamina, PBAS is engaged in operation, maintenance, training, plant services, and engineering, procurement and construction (EPC) in the oil and gas industry and related industries. The firm?s market target is Pertamina and international oil and gas companies.

Editing by Johannes Simbolon