Seven uncommitted LNG cargoes from Bontang sold to PLN

By Febry Silaban

State-owned oil and gas firm PT Pertamina said that seven uncommitted LNG cargoes from the Bontang LNG plant in East Kalimantan with gas sourced from Jangkrik field operated by Eni has been sold to state-owned electricity firm PT PLN.

?This year we?re selling seven LNG cargoes to PLN,? said Wiko Migantoro, Vice President of LNG Directorate at Pertamina to Petromindo.com on Friday, adding that one cargo has already been delivered to PLN power plant in Benoa, Bali, while the remaining six cargoes will be delivered later for regasification at PT Nusantara Regas facility.

Wiko said that the LNG sale and purchase agreement (SPA) has yet to be signed, but there has been commitment from PLN to absorb the cargoes. ?The SPA will be immediately signed, supposedly next month,? he said.

Meanwhile, Chairani Rachmatullah, Head of Primary Energy Division at PLN confirmed that the SPA is in the process to be signed. But she said that PLN this year will only absorb as many as six LNG cargoes from Bontang.

A source said that the remaining LNG cargoes are expected to be delivered within the next 2-3 months.

Editing by Reiner Simanjuntak