Purnomo calls on BPMIGAS, Pertamina to talks with LNG buyers

Minister of Energy and Mineral Resources Purnomo Yusgiantoro called on oil and gas upstream authority BPMIGAS and state owned oil and gas firm PT Pertamina to intensify talks with LNG buyers, following decrease in demands amid economic slowdown.

He made the statement following reports that Japanese, South Korean and Taiwanese buyers of Indonesian LNG might ask Indonesia to cut supplies, citing there were excess of LNG stocks in their respective countries due to weak demand.

Purnomo said BPMIGAS and Pertamina should intensify talks with buyers, including the existing and new ones.

"Yes, our LNG traditional buyers have cut orders for LNG from Indonesia. The situation is net yet worrying. This is just the first warning. If the situation does not change and our LNG production has reached the tank's top, we have to switch off gas fields and it is difficult to switch them back on," Purnomo said. (godang)