Pertagas signs gas supply deals in E. Java, to build pipeline in Dumai
Friday, September 15 2017 - 04:41 AM WIB
Gas distribution company PT Pertamina Gas (Pertagas), and its subsidiary PT Pertagas Niaga (PTGN), signed on September 6 agreements for the supply of gas for three manufacturing plants in East Java.
Pertagas said in a statement obtained Friday that the gas supply deals were signed with two plants of household utensils manufacturer Maspion Group, namely Maspion 1 in Sidoarjo, and Maspion 4 in Gresik, and with steel maker PT Hanil Jaya Steel, also in Sidoarjo.
The company did not provide details about the gas supply deals, which were signed on the sidelines of a gathering with industries in East Java held by the company to help expand the number of customers in the region.
Earlier on August 22, Pertagas and PTGN also held similar gathering with industries in Dumai, Riau Province, where industries there still rely on coal, diesel fuel, and oil palms shell as source of energy. Pertagas said the company plans to provide gas as cleaner source of energy for the local industries. Under the plan, Pertagas will supply gas via 67-km Duri-Dumai transmission pipeline with capacity of 268 mmscfd. The gas will come from oil and gas contractors operating fields in South Sumatra region.
The target is to complete the gas pipeline in second quarter of 2018, Pertagas said in a statement.
Editing by Reiner Simanjuntak