Tangguh LNG delivers first cargo to Arun

Thursday, February 19 2015 - 11:18 AM WIB

The first liquefied natural gas (LNG) cargo purchased by PT. Perusahaan Listrik Negara (PLN) arrived at the Blang Lancang port in Aceh Darussalam on Thursday.

BP stated in a press release on Thursday that the cargo, which was shipped from its Tangguh LNG facility in Teluk Bintuni Regency, Papua Barat, with the Tangguh Towuti LNG vessel, will enable PT. Perta Arun Gas (PAG) to start commissioning its Arun regasification facility.

?This has proven our commitment to prioritize domestic energy needs. SKK Migas is committed to increasing gas supply allocation for the domestic market. Since 2003, domestic gas supply has increased by an average of 9 percent per year,? SKK Migas Chairman Amien Sunaryadi said.

He said that In 2013 gas volume for domestic allocation was bigger than the volume for exports. In 2015, his institution is committed to providing 4,403 BBTUD (Billion British Thermal Unit per Day) for domestic, or equals to 61 percent, and the rest or 2,836 BBTUD for export.

The BP-operated Tangguh LNG plant is expected to deliver 9 LNG cargoes to PLN in 2015. ?This cargo from Tangguh LNG will help commission Arun and begin its operation as a regasification terminal.? Amien added.

?This is an important milestone for Tangguh in its commitment to supply domestic gas to help meet the increasing demand in Indonesia. The Tangguh partnership is proud to support the commissioning of the Arun regasification facility and looks forward to safely delivering future cargoes to the terminal,? said Christina Verchere, BP Asia Pacific Regional President.

The Tangguh Towuti LNG tanker will stay at the terminal for 10 days to support the Arun LNG Receiving and Regasification Terminal commissioning, ahead of start-up.

?This represents our readiness to fully operate and begin supplying Indonesia with the gas it needs. With a 405 MMSCFD installed capacity, we expect PLN to be able to optimize its gas for electricity generation and for the development of the North Sumatra and Aceh industrial zones,? said Teuku Khaidir, Executive Director of PT. Perta Arun Gas (PAG), operator of the regasification unit.

?This additional gas for electricity generation will reinforce electricity supply in the northern part of Sumatera. This will also significantly increase PLN?s efficiency by replacing the oil fuel used in Belawan?s generator,? said PLN Executive Director, Sofyan Basir.

Since the first cargo shipment in July 2009, Tangguh LNG has safely loaded more than 500 cargoes to customers in Indonesia, Asia and America. Tangguh remains focused on safe, reliable and efficient operations to meet its commitments and to deliver significant benefits to Indonesia.

Editing by Benget Besalicto ST

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