PLN gets gas supply boost from PGN

State gas distribution firm PGN and state electricity firm PLN had signed gas sales amendment deal on Wednesday that will boost supply to the latter?s Muara Tawar power plant in West Java.

Under the new deal, PGN will increase supply to 200MMCFD from 50MMCFD for under the 3-year contract. Gas will be transmitted from PGN?s South Sumatra-West Java pipeline.

PGN and PLN had also signed a separate deal to supply another 100MMCFD for PLN for three year starting June 2008.

PGN will charge PLN US$5.61 per MMBTU, giving revenue of US$414 million per year for the company. (godang)