Tangguh in better position to win Posco-SK LNG tender: BP Migas

Tangguh LNG has a good chance to win to supply liquefied natural gas to South Korea?s Posco and SK Corp. as it offers more attractive terms compared to its rival Malaysia Tiga, according to Indonesia?s upstream oil and gas authority senior official.

? I believe Tangguh LNG offers lower piece and greater flexibility compared to our rival?s proposal, therefore I am optimistic Tangguh is in better position to win the contract,? said Edi Purwanto, BP Migas deputy for financial and economic affairs in an interview Wednesday.

Posco and SK Corp. had opened tender to supply 1.1 million tons of LNG annually starting 2005. Tangguh LNG, which is operated by BP Plc and Petronas? Malaysia Tiga LNG had been declared preferred bidder with winner announcement expected in June this year. Posco is the world's second largest steel maker, while SK Corp. is South Korea's largest oil refiner.

Edi said if Tangguh wins the South Korea contract, Bontang LNG would supply Posco-SK LNG requirement during Tangguh construction period. (alex)