PGN signs pipe procurement contract for Bitung ? Cimanggis
Monday, March 25 2013 - 02:33 AM WIB
The pipes which are 24 inches in diameter with total value amounting to US$ 36 million will be supplied by PT Steel Pipe Industry, PT KHI Pipe Industries, and PT Indal Steel Pipe.
"This pipe procurement has proven that we?re working to expedite the development of gas infrastructure in order to increase the use of gas. It has also proven that we?re committed to continually converting the use of oil fuels (BBM) to gas in Indonesia,? said PGN Technology and Development Director Djoko Saputro as reported in PGN?s press statement over the weekend.
Currently, PGN is also in a process of developing the gas distribution pipeline linking Cikande ? Bitung (CP3B). It is part of Bojonegara-Bitung distribution pipeline, in which Bojonegara ? Cikande (CP3A) pipeline has been in operation since last year.
PGN has finalized more than 55 percent of CP3B pipeline construction. When completed, the pipeline networks, CP3A and CP3B, will expand its gas transmission of South Sumatra-West Java (SSWJ), which flows through Bojonegara station.
Gas from SSWJ transmission pipeline to western Java will be distributed through two stations, namely Bojonegara and Muara Bekasi.
The development of Bitung-Cimanggis project will integrate the two distribution networks as the Muara Bekasi-Cimanggis pipeline has been in operation.
Bojonegara-Cimanggis pipeline is expected to flow gas at the capacity of up to 216 MMMSCFD, with distribution to customers will be through offtake Cikande and Bitung at the capacity of 148 MMSCFD and distribution through the Bitung ? Cimanggis pipeline at the capacity of 68 MMSCFD.
"The new pipelines will further strengthen the reliability of gas supply for customers in western Java, which covers provinces of Greater Jakarta, West Java, and Banten. With the new infrastructure, we?ll be able to accommodate new clients,? Djoko said.
Editing by Benget Besalicto Tnb.