PGN boosts gas supply for East Java
Friday, February 17 2012 - 10:26 AM WIB
State-owned gas distributor PT Perusahaan Gas Negara (PGN) has inked a Gas Purchasing Agreement (GPA) with PT Indogas Kriya Dwiguna (IKD) for the purchase of 20 bbtud for the next two years.
The deal was signed by PGN?s Finance Director M. Riza Mochtar Pahlevi and IKD?s Director Ivanna Laksmini Devi on Friday. The agreement is part of PGN?s move to cope with the decline in the gas supply from the Maleo gas field to its customers in East Java, due to natural depletion
The contract is a follow up to the Head of Agreement (HoA) signed last year by the two firms on the utilization of gas from the Terang, Sirasun, Batur gas fields, which are operated by Kangean Energi Indonesia, Ltd.
The gas will be transmitted through the East Java Gas Pipeline (EJGP), which is operated by PT Pertamina Gas (Pertagas), to a receiving station in Waru, Jawa Timur.
Editing by Dadan Wijaksana