Singapore's Mayfran to acquire oil and gas projects in Sumatra

Singapore-based Mayfran International Limited said on Tuesday its wholly-owned subsidiary Asia Pacific Resource Investments Limited (APRIL) had signed two memorandums of understanding with PT Titis Sampurna (PTTS) to acquire a majority interest in the latter's oil and gas projects in Sumatra.

Mayfran said the first project worth US$38 million consisted of a 60-kilometer gas transportation pipeline and a 200-metric ton per day LPG (liquid petroleum gas) processing plant located in Prabumulih, South Sumatra.

According to Mayfran, PTTS has been awarded the project under a 'Build, Operate & Transfer' (BOT) contract and a 'Build, Operate & Own' (BOO) contract for a 10-year period by state-owned oil and gas company PT Pertamina.

"The first project has been completed and is currently under commissioning and pilot runs," said Mayfran.

Meanwhile, the second project is about a BOT contract awarded by Pertamina for a 6-kilometer gas transportation pipeline to be constructed in Lhokseumawe, North Sumatra for a 10-year period.

"The second project is now in its physical construction phase and is expected to be completed within a period of four and a half months," Mayfran said, adding that the two parties would form a 30:70 basis joint venture company on the second project.(robert)