RI to assure China of cheap, stable LNG supply

The government will assure China of a cheap and stable LNG (liquefied natural gas) supply in a bid to win a multi billion dollar contract to supply LNG to the industrial province of Guang Dong, according to Minister of Energy and Mineral Resources Purnomo Yusgiantoro.

Purnomo is scheduled to meet with Chinese Premier Zhu Rongji on Dec. 17, a day before the state-owned oil and gas firm Pertamina submit its bid for the LNG supply contract.

Pertamina president Baihaki Hakim and top officials of BP, which operates the Tangguh LNG field in Papua province, will join the meeting.

Purnomo said that he would also deliver a letter from President Megawati Soekarnoputri to Premier Zhu.

Guang Dong needs around 3 million tons of LNG per year. Among of Pertamina tough competitors to enter the Chinese market are Malaysia, Australia, and Qatar.(Godang)