SKK Migas supports Simenggaris mini LNG plant

Upstream authority SKK Migas said it full supports plan by JOB Pertamina-Medco E&P Simenggaris, the operator of the Simenggaris block in North Kalimantan, to develop a mini LNG plant.

This was said by SKK Migas deputy M.I. Zikrullah in a statement seen on Monday.

As has been previously reported, JOB Pertamina Medco plans to develop a mini LNG with a capacity of 30-35 mmscfd in a bid to monetize stranded gas in the Simenggaris block using the Donggi Senoro LNG plant in Central Sulawesi as a model.

The SKK Migas statement quoted General Manager of JOB Pertamina Medco E&P Simenggaris Ahmad Zaidy as saying that state-owned electricity company PLN and state-owned oil and gas firm PT Pertamina are seen as potential buyers, respectively with a volume of 5 and 25 mmscfd.

As of November of last year, SKK Migas said that the Simenggaris block had produced 0.5 mmscfd of gas, distributed to a power plant in Tana Tidung regency, North Kalimantan.

The Simenggaris PSC is located in Tana tidung regency, North Kalimantan province bordering to the Malaysian state of Sabah. The block is operated by JOB Pertamina-Medco E&P Simenggaris (JOB-PMEPS), in which Medco holds 62.5 percent interest and the balance is owned by Pertamina.

Editing by Reiner Simanjuntak