PHE seeks to raise gas price from WMO

By Bernard Loebs

PT Pertamina Hulu Energi is seeking to raise gas price sold to state electricity company PT PLN from its West Madura Offshore (WMO) Block to US$4.5-5 per million british thermal unit (mmbtu) from US$2.8 per mmbtu at present, PHE President Director Salis S. Aprilian said.

Salis told Petromindo.com that the renegotiation with PLN is still on-going and that he expects that an agreement would be reached by the end of this month.

PHE proposes the price increase in line with a rise in costs to develop the fields within WMO block as well as a rise in crude oil price.

PHE also seeks to increase gas price from WMO to PGN to US$4.5-5 per mmbtu from US$3.5 per mmbtu at present, said Salis.

Editing by Roffie Kurniawan