Pertamina, PLN in talks over gas supply to W. Java power plant

PT. Pertamina EP, an upstream arm of state oil and gas company PT.Pertamina is in talks to supply gas from its South Sumatra gas field to state electricity firm PLN?s Muara Tawar 6x143 MW power plant in Bekasi, West Java, a Pertamina official said on Tuesday.

Harjana Kodiyat, Pertamina EP Gas Development Manager told Petromindo.Com that Pertamina will supply 100MMCFD of gas starting mid-2007 for two years. Gas will be supplied through pipeline that is owned by state gas distribution firm PGN.

Harjana said gas will be supplied from Pertamina?s Musi gas fields.

Musi will also be supplying up to 250 MMCFD of gas to PGN, also to be carried by the same pipeline to be sold in the western part of Java starting next year.

Currently Muara Tawar is getting gas supply from BP West Java, but gas supply from the block is dwindling due to declining reserves, forcing PLN to look for another gas sources.

PGN earlier said it was also in talks with PLN to supply up to 100 MMCFD of gas to Muara Tawar for 5 years starting 2007.(godang)