Tangguh starts LNG shipment to Fujian

Indonesian unit of Anglo-American oil, gas giant BP plc said on Wednesday that it has shipped one cargo of LNG from Tangguh LNG project in West Papua to CNOOC?s LNG receiving terminal Fujian, China.

?LNG vessel Min Rong leaves for Fujian, China on Sunday, July 19,? Nico Kanter, BP Indonesia Head of Country said.

According to BPMIGAS Chairman R. Priyono, Min Rong brought 138,000 m3 of LNG and is estimated to reach Fujian on July 25, 2009.

According to Priyono loading process at Tangguh was a bit slow due to technical problems and LNG processing plant was also experience slight trouble which led to decreased production.

The LNG shipped by Min Rong would be the first LNG shipped from Tangguh to Fujian, under long-term contract.

Earlier this month, Tangguh has also started shipment to South Korean customer POSCO in Gwangyang.

Tangguh is operated by BP Indonesia with 37.16 percent stake. Its partners include MI Berau B.V. (16.3 percent), CNOOC Ltd (13.9 percent), Nippon Oil Exploration (Berau) Ltd (12.23 percent), KG Berau/KG Wiriagar (10 percent), LNG Japan Corporaation (7.35 percent) and Talisman (3.06 percent)

The project has signed long term contracts with LNG Fujian in China (2.6 million tons per year), K-Power and POSCO in South Korea (1.15 million tons) and a flexible contract to supply up to 3.7 million tons per year to the Sempra LNG terminal in Baja California, Mexico. (godang)