PGN reviews gas sales target

State gas distribution company PGN has reduced its sales target for this year from 453 million standard cubic feet per day (MMSCFD) to 413 MMSCFD.

 

PGN corporate secretary Heri Yusup said in a statement to the Jakarta Stock Exchange on Tuesday the revision was taken because the gas absorption by its customers in August, September was lower than expected.

 

The market absorption in October is expected lower than earlier estimation, he said. Although the supply from Pagardewa gas field through the South Sumatera-West Java pipeline in August reached its peak at 130 MMSCFD, the market absorption averaged only 104 MMSCFD.

 

He added some new customers were unable to optimally absorb the gas in accordance with the contract.

 

"Completion of distribution pipeline project is another reason why we reduce our target," he said. (godang)