PGN to sign $150m loan with BNI today

State-owned gas distributor PT Perusahaan Gas Negara (PGN) is to sign a US$150 loan deal with state bank BNI in Jakarta on Monday (today), Sindo Daily reported Monday.

 

PGN’s corporate secretary Heri Yusuf said in Jakarta on Sunday that the loan would have a maturity of 10 years, with an interest of 175 points over three-month Singapore Inter Bank Offered Rate (SIBOR).

 

He said that the loan would be used for financing the completion of the South Sumatra and West Java (SSWJ) pipeline and distribution project.

 

Heri also said that the SSWJ project had entered the phase of hydrostatic testing and was expected to start operation by the end of October, 2007. (*)