Pertamina, PLN to sign LNG deal next month

By Febry silaban

State-owned oil and gas firm PT Pertamina expects to sign a sales and purchase agreement (SPA) with state-owned electricity firm PT PLN next month over the supply of six (plus one) uncommitted LNG cargoes from Bontang plant in East Kalimantan Province.

?Everything has been agreed. We?re seeking to sign the SPA during the national electricity day (October 27),? Vice President of LNG Directorate at Pertamina Wiko Migantoro told Petromindo.com on Friday.

Previously, Pertamina said that seven uncommitted LNG cargoes from the Bontang LNG plant in East Kalimantan with gas sourced from Jangkrik field operated by Eni has been sold to PLN.

Wiko said, one cargo has already been delivered to PLN power plant in Benoa, Bali, while the remaining six cargoes will be delivered later for regasification at PT Nusantara Regas facility.

Meanwhile, last month, Chairani Rachmatullah, Head of Primary Energy Division at PLN said that PLN this year will only absorb as many as six LNG cargoes from Bontang.

Editing by Reiner Simanjuntak