PGN's East Java expects to book profit of Rp 335 billion

The East Java office of the state owned gas distribution company Perusahaan Gas Negara (PGN) expects to book a pre-tax profit of about Rp 335 billion this year, far higher than Rp 199 billion recorded in 2003, thanks to a 25 percent in the gas sales and an increase in gas price, Bisnis Indonesia reported on Tuesday.

The general manager of PGN's East Java office, Trijono, said in Surabaya on Monday that the increase in the total gas sales and the rise in the gas price beginning August would result in the sharp increase in total sales this year.

He said that this year's sales revenues were expected to increase to Rp 1.4 trillion from about Rp 994.11 billion in 2003. "We estimate that the sales would reach at least Rp 1.4 trillion from the sales of 102.12 million standard cubic feet per day this year," he said, the higher sales would also result in the increase in the pre-tax profit to Rp 335 billion.

PGN's East Java receives a gas supply of about 74 MMCFD from Lapindo Brantas, and another 29 MMSCFD from Energi Mega Persada Kangean. PGN expects additional supply of about 25 MMSCFD from Kodeco beginning next year. (*)