WNE signs MoU with Pertamina on Syngas project

By Bernard Loebs

Gas trading and processing company PT Wahana Naturalgas Energi (WNE) has signed an MoU with state-owned oil and gas firm PT Pertamina to develop synthesis gas (syngas) business in the country.

The syngas will be produced from low rank coal in South Sumatra.

Director of Business Development at WNE Harjana Kodiyat said that the syngas project, which will deploy a coal gasification technology from the US, is designed to produce up to 60 mmscfd of syngas, which will be later supplied to the gas refinery unit II in Dumai, Riau.

He said that the project, dubbed as the first syngas refinery in the country, is targeted to be completed in 2018. He added that the company was also inviting firms from the US and China to participate in the project.

?This is not a small project because the investment requirement is about US$700 million. We?ll give an opportunity for Pertamina to have a stake once the project is running,? Harjana said.

Editing by Reiner Simanjuntak