PGN and PLN Batam sign MoU on gas utilization

IDX-listed state owned gas distributor PT Perusahaan Gas Negara (PGN) and state owned electricity firm PT Perusahaan Listrik Negara?s (PLN) unit on Batam Island signed on Wednesday a Memorandum of Underestanding (MoU) to cooperate in the utilization of gas for power generation.

The MoU was signed by PGN?s Business Director Jobi Triananda Hasjim and Bright PLN Batam?s President Director Dadan Kurniadipura, PGN said in a statement.

Under the MoU, PGN will supply gas to power plants owned by Bright PLN Batam as part of its commitment to supporting the govenrment?s oil fuel-to-gas conversion program.

PGN will also build necessary infrastructures to deliver gas to the power plants, Jobi said.

PGN has been supplying gas to a number of power plants in Batam for several years now. It delivers the gas through pipelines from gas fields in Sumatra.

Editing by Johannes Simbolon