PGN delays gas delivery from Sumatra until March

Friday, January 12 2007 - 05:39 AM WIB

State owned gas company PT Perusahaan Gas Negara (PGN) will start delivering natural gas from South Sumatra to West Java in March, three months later than the initial schedule of December last year.

?The schedule for the delivery of gas from South Sumatra through the South Sumatra-West Java pipeline has delayed to March, 2007 from the end of December 2006, with an initial rate of 30 MMCFD,? the company?s president Sutikno said in a statement on Friday.

The delay was because of an unanticipated ?social obstacle? related to the appropriation of lands for the construction of the pipeline.

Furthermore, the protracted draught over the past several months has also posed technical obstacles for the company to carry out the ?push-pull? process (the process of installing pipeline in swampy areas) and ?hydrostatic test? (pipe tests using high pressure water).

?The social and technical problems have been solved that the physical construction of onshore Pagardewa-Labuhan Maringgai pipeline and offshore Labuhan Maringgai-Cilegon pipeline has been completed and (the pipelines) are now in pre-commissioning stage, three months later than the initials schedule,? the firm said in a statement.

In line with the work security and operation standards in the oil and gas industry, the firm will carry out several activities during the pre-commissioning stage, including cleaning the pipeline, gauging the pipeline?s condition, caliper pigging, hydrostatic test, dewatering, swabbing and drying.

The pre-commissioning process will last 50 days, which will be followed by a commissioning stage (10 days). After that, PGN will need between 5 and 10 days to start operating the pipeline and deliver gas to customers.

?In view of the conditions, industrial customers will get gas at the end of March at the latest with volume starting at 30 MMCFD in the month and increasing to 40 MMCFD in May,? Sutikno said

The volume will steadily be ramped up to between 170 and 232 MMCFD in July and 480 MMCFD in 2008 in line with the completion of the onshore Grissik-Pagardewa pipe section, offshore Labuhan Maringgai-Muara Bekasi pipe section and Muara Bekasi-Rawa Maju pipe section, according to Sutikno.

The gas will be sourced from state owned oil and gas company Pertamina?s field in Pagardewa and American firm ConocoPhilips? field in Grisik, South Sumatra. (godang)

Share this story

Tags:

Related News & Products