Pertamina to be involved in LNG and power project in Mexico

Marathon Oil Company and associated project partners Indonesian state oil and gas company Pertamina, Golar LNG Limited and Grupo GGS, S.A. de C.V. on Feb 28 proposed plans for a major liquefied natural gas (LNG) re-gasification and power generation complex in the Mexican State of Baja California.

The pipeline and power generation project, to be located near Tijuna, are planned to start operation in 2005, the companies said in a statement.

The companies said the project would have the capacity to re-gasify up to 750 million cubic feet per day (mmcfd) of LNG from various sources around the world with a significant portion coming from the Asia-Pacific region for local use as well as export to Southern California.

Pertamina, the world's largest exporter of LNG, is expected to be a key supplier for the project, the statement said.

Commenting on the project, Pertamina President Director and CEO, Baihaki Hakim, said: "Indonesia's world-class natural gas reserves have positioned Pertamina as a major participant in the global LNG marketplace. One of our key strategies is to seek out new gas market opportunities like the Baja Project, and work closely with strategic partners like Marathon in developing such promising ventures."

Marathon is an energy company engaged in exploration, production and transportation of crude oil and natural gas. In 1969, Marathon co-founded a joint venture to export LNG from Alaska to utility companies in Japan, which represents the world's longest-running LNG export business. (robert)