Three LNG cargoes from Bontang have yet to find buyers

As many as three LNG cargoes from Bontang plant in East Kalimantan have yet to be absorbed by the market, Bisnis Indonesia reported on Thursday.

The paper quoted Sampe L.Purba, Head of Natural Gas Commercial Divisin at upstream oil and gas authority SKK Migas, as saying that the government is still looking for buyers of the LNG cargoes that have yet to be contracted this year.

He said that priorities will be given to domestic buyers.

Meanwhile, Head of Fuel and Gas Division at state-owned power company PT PLN, Chairani Rachmatullah said that the company is seeking to increase LNG supply.

She said that PLN currently holds long-term LNG contracts for 34 cargoes, but as company demand has already exceeded this level of volume it is seeking to get new contracts this year of 6-11 LNG cargoes.

Chairani said PLN has been in negotiations with state-owned oil and gas firm PT Pertamina as the operator of the Bontang plant, and BP as the operator of Tangguh plant in West Papua to obtain the additional LNG supply. (*)