Pertagas to accelerate construction of Gresik-Semarang project
Thursday, August 7 2014 - 04:02 AM WIB
After having a meeting with Central Java Governor Ganjar Pranowo on Wednesday in Semarang, Pertagas President Director Hendra Jaya said on Wednesday that PT Pertamina approved the final investment decision (FID) for the gas infrastructure project in the third week of June 2014.
The company said in a press release Wednesday the construction will take around 18 months to be completed. When completed the pipeline will be able to supply gas for local industries, and in turn generate the economic growth of the two provinces. ?It will start operation at the first quarter of 2016,? he said.
According to him, his company has secured gas supply for the pipeline.
It will be supplied with gas from the fields of Tiung Biru, Jambaran and Cendana owned by Pertamina EP Cepu at 100 mmscfd since 2019 based on the energy and mineral resources ministry (ESDM) letter number 1851/13/MEM.M/2014 dated Mach 17, 2014, and gas excess in East Java.
Hendra Jaya noted that the gas from the 267-kilometer pipeline is allocated to fulfill the local needs along the pipeline in East Java and Central Java. Based on data from ESDM, the local needs reached 416 mmscfd in 2020.
The pipeline, using pipe of 28 inch, will have a flowing capacity of 500 mmscfd and has two utility stations in Gresik and Cepu for future developments.
He also noted that the infrastructure will also support the government policy on conversion of oil fuels (BBM) to gas.
Editing by Benget Besalicto ST