PGN begins construction of FSRU Lampung
Thursday, February 28 2013 - 03:21 AM WIB
State owned gas distribution company PT Perusahaan Gas Negara Tbk (PGN) has officially kicked off the construction of the company?s second floating storage and regasification (FSRU) which will be operated in Lampung, Bisnis Indonesia reported on Thursday.
PGN and shipbuilder Hyundai Heavy Industries held a keel laying ceremony at the latter?s shipyard in Ulsan, South Korea on Wednesday to mark the start of the FSRU construction.
The FSRU Lampung will have receiving capacity of 240 million standard cubic feet (mmscf) will cost between US$250 millio and $300 million to build. About $100 million of the total costs will be used for mooring system, $150 million for pipes, station and other spending.
PGN will cooperate with Hoegh LNG Ltd of Norway and PT Rekayasa Industri to operate the FSRU. Hoegh LNG will operate the FSRU under a 20-year contract.
Also attending the keel laying ceremony were Vice Energy and Mineral Resources Minister Susilo Siswoutomo, vice chairman of upstream oil and gas regulator SKK Migas Yohanes Widjanarko and the president director of PGN Hendi Prio Santoso. CEO of Hoegh LNG, Sveinung Stohle, and COO of Hyundai Heavy Industries H. Kim also attended the ceremony.
The FSRU Lampung, which is expected to begin operation in the first semester of next year, is the second FSRU to be operated by PGN after FSRU Jawa Barat which began operation last year. (*)