Three gas agreements signed
Monday, May 4 2015 - 11:04 AM WIB
Several gas buyers and producers signed on Monday three gas sales and purchasing agreements worth around US$299 million.
The agreements were signed during the event in Samas, Bantul regency, Yogyakarta where President Joko Widodo kicked off several power projects and witnessed the signing of several Power Purchasing Agreements (PPAs).
According to Arief Riyanto, Head of Gas Commerce Division at SKK Migas, the three gas agreements are as follows:
1. Gas Sales and Purchasing Agreement (GSPA) between ConocoPhillips Grissik Ltd and public utlitiy PT PLN on gas supplyl amounting 40 bbtud over a period of three years for power generation in Sumatra, western part of Java and Batam. The contract is worth US$201 million.
2. Amendment to GSPA between Petroselat and PLN on gas supply amounting to 5 bbtud over a period of five years for power generation in Riau. The contract is worth $15.7 million.
3. Head of Agrement between PetroChina International Jabung Ltd and PT Bumi Samudra Perkasa, a regional state owned enterprise (BUMD) owned by the Jambi administration, on gas supply for the latter over a period of seven year. The latter will resupply the gas to PLN for power generation in the province. The contract is worth $82.6 million.
Arief said the gas agreements will potentially generate $299 million in government revenue.
Editing by Johanne Simbolon