Pertagas, KAI agree on fee to use railway for gas pipeline

Monday, January 12 2015 - 03:02 AM WIB

By Godang Sitompul

PT Pertamina Gas (Pertagas), a subsidiary of state owned oil and gas firm PT Pertamina, has reached an agreement with state-owned railway firm PT Kereta Api Indonesia (KAI) on fee to use KAI?s railroad track to build its Gresik-Semarang (Gresem) gas pipeline

Pertagas?s President Director Hendra Jaya said both firms are expect to officially sign the agreement this month.

He refused to unveil the amount of fee payable by Pertagas.

He also said the progress of the Gresem pipeline development has reached 25 percent.

Editing by Johannes Simbolon

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