Pertamina likely to import LPG containers

State oil and gas company Pertamina said Monday it was likely to import containers with a capacity of 3 kg of liquefied petroleum gas (LPG) if local companies offered for the container-production project are unable to provide the total number of 800,000 units of containers this year.

"We expect local companies to be ready for producing the containers but if they are unable to provide the needed total number of 800,000 units of containers, then we will import the remainder," said Pertamina's director for marketing and trade Achmad Faisal in Jakarta Monday.

According to him, Pertamina may import the containers from China or Thailand. "If more containers are needed, we may import them from China. The price of containers are slightly cheaper, at around US$9 per unit," he said.

However, Pertamina would prioritize containers produced by local companies as long as the price 15 percent lower than that of imported ones.

He said that Pertamina had offered the container-production project to 14 local companies but up until now, none of them had yet to express their readiness.

"Perhaps, they will express their readiness this week," he said.

Pertamina has allocated Rp569 billion for the provision of 800,000 units of containers in 2006 and 10 million more in 2007. The company will sell the containers to consumers at Rp120,000 per unit.

Pertamina will start running the kerosene into LPG conversion program in January 2007.

Meanwhile Pertamina's deputy director for marketing and commerce Hanung Budya said the company plans to import LPG about one cargo or equal to 1,800 tonnes to anticipate the rising demand during the Ramadhan fasting period. (godang)