Petronas highly interested in RI’s downstream sector: BPH Migas

Malaysian state-owned energy firm Petronas is now in intensive talks with its potential partners in Indonesia to build gas pipeline network and build fuel storages in the country.

“This shows how the firm is highly interested in Indonesia’s downstream sector,” Tubagus Haryono, chairman of downstream authority BPH Migas, said on Monday on the sidelines of the one-day forum titled Indonesia-Japan Energy Roundtable.

Petronas has expressed particular interest to participate in the development of the gas pipelines linking Duri in Riau to North Sumatra and the pipeline conecting Grissik with Pagardewa, South Sumatra, Tubagus said.

“The firm has also planned to build fuel storages to support its fuel distribution in the country,” Tubagus said.

Tubagus, however, did not specify Petronas’ potential partners.

The planned Duri-North Sumatra, Grissik-Pagardewa pipelines will become extensions to the Grissik-Duri 544-kilometer gas pipeline built by Indonesia’s state-owned gas distribution and marketing company PT PGN.

PGN has also planned to build a gas pipeline stretching from Pagardewa to Cilegon in Banten to transport gas from oil and gas-rich province of South Sumatra to the industrial province of Banten.

Aside from Petronas, oil majors such as BP, Royal Dutch-Shell and Total have also voiced interest in Indonesia’s downstream sector, Tubagus said. (Alex)