Wika consortium wins EPC contract for Gresik-Semarang pipeline project
Wednesday, September 24 2014 - 01:48 AM WIB
A consortium led by IDX-listed construction firm PT Wijaya Karya Tbk (Wika) has won the engineering, procurement and construction (EPC) contract for the development of the Gresik-Semarang gas pipeline project.
?The winner of the EPC tender is the consortium of Wika. Preparation for the construction has already been started,? Hendra Jaya, President Director of PT Pertagas, a gas distribution subsidiary of state-owned oil and gas firm PT Pertamina, which owns the pipeline project, told Petromindo.com Tuesday. He did not disclose the value of the contract.
Pertagas is planning to construct the 275km pipeline that will transmit excess gas in East Java to Central Java, supplying gas for industry and power plants along the pipeline. The project will include construction of pipeline and compression stations.
The 28-inch gas transmission pipeline project with a capacity of 500 mmscfd will be built within 18 months, and is planned to be on stream in the first quarter of 2016.
In accordance with the ruling of the downstream oil and gas authority BPH Migas, the pipeline has an open access status. Pertagas will obtain a toll fee to allow the company recovers its investment.
Editing by Reiner Simanjuntak