Pertamina EP signs gas sales agreement for JTB project
Monday, December 21 2015 - 01:33 AM WIB
PT Pertamina EP has signed a gas sales and purchase agreement for the Jambaran-Tiung Biru fields project in Central Java with parent firm PT Pertamina.
Pertamina EP President Director Ronny Gunawan, who signed the agreement on Friday, said that the agreement is expected to help pave the way for the immediate construction of the JBT project.
Under the agreement, Pertamina EP, which has an 8 percent share in the JTB project, will sell its gas share to PT Pertamina, which will then distribute it to power plants.
The Tiung Biru field is located within Pertamina EP?s Cepu operations area which is adjacent to the giant Cepu oil and gas block jointly operated by ExxonMobil Cepu Limited (EMCL), a unit of ExxonMobil Indonesia, and Pertamina EP Cepu (PEPC). The Jambaran gas field is located within the Cepu block, which is operated by EMCL. EMCL and Pertamina EP agreed in September 2012 to unitize both fields with PEPC serving as operator.
Physical construction of the JTB project is expected to start in the middle of 2016. The project is expected to start production in the first quarter of 2019 at a volume of 227 mmscfd, and to peak at 315 mmscfd in 2020.
Editing by Reiner Simanjuntak