PGN, Petronas in talks to seal E. Java gas supply deal
Monday, September 28 2009 - 04:50 AM WIB
State oil and gas company PT Perusahaan Gas Negara (PGN) is in talks to finalize gas supply deal from Petronas-operated Bukit Tua field in Ketapang PSC offshore East Java.
?Talks are progressing,? PGN Corporate Secretary Wahid Sutopo said.
PGN and Petronas had signed HoA of Ketapang gas a few years back. Under the deal, PGN would buy some 50MMCFD of gas from Ketapang starting 2011-12.
Wahid said gas from Ketapang would be sold to industrial customers in East Java.
Bukit Tua is located within Ketapang PSC, where Petronas has 100 percent working interest after acquiring 50 percent stake at the block from former partner ConocoPhillips. Bukit Tua is slated top start production in 2011 with production of 20,000 BPD and 50MMCFD of flare gas. (bernard)