PGN picks Petronas-led consortium as strategic partner
Thursday, September 5 2002 - 05:39 AM WIB
State gas distribution company PGN said on Thursday it had picked a consortium led by Malaysia?s national energy company Petronas as strategic partner for a 40-percent stake in PGN?s subsidiary PT. Transgasindo to operate natural gas pipelines from South Sumatra to Duri in Riau and from South Sumatra to Singapore.
PGN president director WMP Simandjuntak said other consortium members were Talisman Energy Inc, Gulf Resources, Conoco and Singapore Petroleum Corporation.
Earlier reports said the 40-percent share was valued at over US$187 million.
Simandjuntak said on Thursday PGN and the consortium would sign the formation of the joint venture on September 12 in Jakarta.
The South Sumatra-Singapore pipeline had been planned to start transmitting natural gas in the third quarter of 2003, Simandjuntak said.
Transgasindo transmits natural gas through pipelines from South Sumatra gas producers to steam flood facilities belonging to PT Caltex Pacific Indonesia in Duri, Riau. (alex)