Tangguh, Masela to supply LNG to domestic market: BPMIGAS
Thursday, June 10 2010 - 11:17 AM WIB
The Tangguh LNG plant in West Papua, owned by British BP Plc and partners will start supplying 1.2 million metric tons of LNG a year by 2012 and may increase sales to 1.8 million tons annually by 2016, said BPMIGAS? deputy chairman Hardiono.
Meanwhile, the Masela consortium, comprising of Japanese firm Inpex Corp. and local firm PT Energi Mega Persada (EMP), must allocate about 33 percent of output or 1.5 million tons a year from a planned floating LNG plant off West Papua for the domestic market starting in 2018, he said. The gas will be sourced from the Masela block in Timor Sea which is 90 percent owned by Inpex, 10 percent by EMP.
?We want to boost domestic use of natural gas as it?s relatively cheaper compared to oil and it?s clean,? Hardiono said.
Masela LNG may be supplied to a receiving terminal in Aceh province, while Tangguh LNG to North Sumatra , Hardiono said.
Supplies for LNG-receiving terminals in West and East Java will come from the Bontang plant, in East Kalimantan , he added.
State owned gas distributor PT Perusahaan Gas Negara (PGN) plans to build a floating storage receiving terminal (FSRT) in North Sumatra on its own and another one in West Java in partnership with state owned oil and gas firm PT Pertamina. Meanwhile, the East Java terminal will be built by Pertamina on its own. (Godang/Bernard)