Pertamina, Arrtu sign DME sales deal
Thursday, July 2 2009 - 08:33 AM WIB
State oil and gas company PT Pertamina on Thursday signed Sales Purchase Agreement (SPA) with Indonesian firm PT Arrtu Mega Energie (AME) to buy dimethyl ether (DME) from the latter.
Under the deal, AME will supply 1.7 million tonnes of DME to Pertamina for 30 years starting 2011.
The deal was signed in Jakarta by Pertamina CEO Karen Agustiawan and AME CEO Christoforus Richards.
DME is an alternative fuel with similar properties with LPG that can be derived from coal, natural gas, crude and biomass.
AME will build coal gasification plant in Pranap, Riau using German technology with investment of US$1.3 billion. (bernard)