PGN expects to commission S.Sumatra-Singapore pipeline July

State gas distribution company PGN said construction works of its South Sumatra-Singapore pipeline project was already 85 percent completed and was on schedule to commence gas transmission to Singapore on August this year.

?Except for minor delay in Grissik-Sakernan section due to flooding and in Batam-Pemping Station section, pipe lay-out had been completed, and we are hoping to commission the pipeline in early July,? said PGN president WMP Simandjuntak. PGN started construction of the 524-km pipeline in 2001. The pipeline is estimated to cost around US$ 450 million.

PGN owns 60 percent stake in PT. Transgasindo, the company that runs the South Sumatra-Singapore pipeline.

The pipeline will transport 150 MMCFD of gas beginning August 2003 to Singapore Power Co., pumping up to 350 MMCFD by 2009, for a total volume of 2.27 trillion cubic feet over 20 year. Natural gas will be supplied from the Corridor and South Jambi B production-sharing contract (PSC) areas, both operated by ConocoPhillips, and from Jabung PSC area operated by PetroChina. (alex/godang)