Rekind decided winner of Arun EPC revitalization tender
Wednesday, November 7 2012 - 04:13 AM WIB
Based on the contract, the winning contractor will revitalize the Arun liquefied natural gas (LNG) plant into a receiving and regasification LNG Terminal.
Pertamina Vice President for Corporate Communication, Ali Mundakir said on Wednesday that the EPC project tender that had been conducted since April this year was participated by five companies. After several stages of selection, then Rekind was selected as the best candidate to implement the EPC revitalization project.
?We?ve decided Rekind as the tender winner.
Rekind has been also committed to complete the project on expected time and quality,? said Ali.
The Arun receiving terminal is planned to have a capacity of 400 mmscfd, which will be channeled to fertilizer industries, power plants, and other industries in Aceh and North Sumatera. But so far, the gas supply for the terminal has not yet been secured.
A gas supply plan of 140 mmscfd, which is planned to be supplied from Tangguh LNG plant and channeled to PLN through the receiving terminal, is still being negotiated with the government, particularly concerning with its price.
Pertamina, he said, has informed BP, as Tangguh LNG producer, and BPMIGAS, as the upstream authority, about its interest to buy the LNG from Tangguh to supply the Arun receiving terminal.
As the revitalization project will be also linked to Belawan, North Sumatra, through a pipeline network, it is expected to revitalize industries in Aceh and North Sumatra, and to increase the availability of power supply in both provinces.
But Ali noted that his company could not yet sign a contract to implement the project construction, as they have yet to secure the gas supply for the receiving terminal.
Editing by Benget Besalicto Tnb.