ID :
78931
Tue, 09/08/2009 - 00:33
Auther :
Shortlink :
https://www.oananews.org//node/78931
The shortlink copeid
PGN SIGNS MOU FOR LNG PROCURMENT WITH EEES
Jakarta, Sept 7 (ANTARA) - State-owned PT Perusahaan Gas Negara (PGN) Tbk. signed a memorandum of understanding for a liquefied natural gas procurement with Energy Epic Sengkang Pty. Ltd. (EEES) to meet domestic demand here on Monday.
The signing of the MoU was done by PGN's president director Hendi Prio Santoso and EEES CEO Brian Allen witnessed by PGN's chief commissioner Tengku Nathan Mahmud and Stewart Elliot, CEO Energy World Corporation (EWC) from Australia.
Hendi Prio Santoso told newsmen after a public expose that the LNG from the gas field in Sengkang PCS South Sulawesi Block was intended to meet the need for LNG Receiving Terminal which would be set up by PGN.
The company would obtain LNG from the block operated by EEES with a total volume of between 1.5 millions to 5.5. millions a year, he said.
The LNG would meet the domestic need of gas and it is expected to be distributed as of 2012 for a five-year period, he said.
He said PGN would continue to seek gas supply to meet the domestic need. The volume of distribution kept increasing in the first semester this year and the signing was proof of the effort.
"Considering the positive impact on industries and national economy it is appropriate if PGN is given a priority to get allocations of gas supply for use at home," he said.
PGN, he said, hoped it could continue to increase use of natural gas as a more efficient, cleaner and environmental-friendly source of energy for the sake of better Indonesia.
In view of that he said PGN predicts it could procure between 760 to 800 mmsctd at home in the second semester this year after being able to procure 760 mmsctd in the first semester.
Asked about LNG projects in West Java and North Sumatra, Hendi Prio Santoso, said he could not as yet confirm when they would start operations as there were still problems needing to be settled.
However he hoped major LNG businesses would keep exploring so that PGN could conduct investment more quickly, adding that the company at present is holding quite a lot of funds.
Regarding gas price he said PGN for the time being took a wait and see stand because the problem was quite complicated.
He said PGN still used the old price. If supply is sufficient and demand is increasing price adjustment will be made possible, he said.
Brian Allen on the occasion said domestic demand for LNG remained big and therefore the cooperation was needed to meet it or at least reduce the burden.
"We hope the cooperation would benefit both parties," he said.
Brian Allen said a total of US$2 million would be needed for producing the 1.5 million to 2 million LNG.***
The signing of the MoU was done by PGN's president director Hendi Prio Santoso and EEES CEO Brian Allen witnessed by PGN's chief commissioner Tengku Nathan Mahmud and Stewart Elliot, CEO Energy World Corporation (EWC) from Australia.
Hendi Prio Santoso told newsmen after a public expose that the LNG from the gas field in Sengkang PCS South Sulawesi Block was intended to meet the need for LNG Receiving Terminal which would be set up by PGN.
The company would obtain LNG from the block operated by EEES with a total volume of between 1.5 millions to 5.5. millions a year, he said.
The LNG would meet the domestic need of gas and it is expected to be distributed as of 2012 for a five-year period, he said.
He said PGN would continue to seek gas supply to meet the domestic need. The volume of distribution kept increasing in the first semester this year and the signing was proof of the effort.
"Considering the positive impact on industries and national economy it is appropriate if PGN is given a priority to get allocations of gas supply for use at home," he said.
PGN, he said, hoped it could continue to increase use of natural gas as a more efficient, cleaner and environmental-friendly source of energy for the sake of better Indonesia.
In view of that he said PGN predicts it could procure between 760 to 800 mmsctd at home in the second semester this year after being able to procure 760 mmsctd in the first semester.
Asked about LNG projects in West Java and North Sumatra, Hendi Prio Santoso, said he could not as yet confirm when they would start operations as there were still problems needing to be settled.
However he hoped major LNG businesses would keep exploring so that PGN could conduct investment more quickly, adding that the company at present is holding quite a lot of funds.
Regarding gas price he said PGN for the time being took a wait and see stand because the problem was quite complicated.
He said PGN still used the old price. If supply is sufficient and demand is increasing price adjustment will be made possible, he said.
Brian Allen on the occasion said domestic demand for LNG remained big and therefore the cooperation was needed to meet it or at least reduce the burden.
"We hope the cooperation would benefit both parties," he said.
Brian Allen said a total of US$2 million would be needed for producing the 1.5 million to 2 million LNG.***
