Pertamina already has anchor buyers for Arun gas
Friday, October 18 2013 - 09:33 AM WIB
State owned oil and gas firm PT Pertamina (Persero) said on Friday it had secured two anchor buyers for the gas it will deliver through the Arun, Aceh-Belawan, North Sumatra pipeline which is now under construction.
The two anchor buyers are Medan Industrial Park in Medan, which has been operating since 1988 and the Sei Mengkei Special Economic Zone in Simalungun, which is being developed by state owned plantation firm PT Perkebunan Nusantara III and is expected to start operation in 2015.
Pertamina has signed Heads of Agreement (HoA) with both industrial parks, according to Hari Karyuliarto, Director of Gas and Power at Pertamina.
Under the HoAs, both industrial parks will be supplied with 75 mmscfd of gas respectively or a total of 150 mmscfd.
The gas will be delivered at the end of 2014 and early 2015, he said.
Pertamina has started to build a 350-km pipeline linking Arun and Belawan that will deliver gas from the Arun LNG plant to buyers in North Sumatra, including PLTGU Belawan combined cycle power plant owned by PT Perusahaan Listrik Negara (PLN). The Arun LNG plant will be modified into an LNG receiving terminal.
Editing by Johannes Simbolon