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  • Indonesia Need to Invest US$ 70-80 billion for Gas Infrastructure until 2030
    édité le 08/02/2017 - Plus de news de "PERTAMINA" - Voir la fiche entreprise de "PERTAMINA"

Indonesia Need to Invest US$ 70-80 billion for Gas Infrastructure until 2030
Indonesia need to invest US$ 70-80 billion for overall gas infrastructure development to meet domestic energy needs which continue to grow around 4-5% per year.

Chairman of Indonesia Gas Society who also served as Acting President Director of Pertamina Yenni Andayani said the growing domestic energy needs is due to the growing population of middle class and increasing gross domestic product (GDP). The growth rate is much higher than the growth in global energy consumption.

Approximately 15% of energy needs will be supplied by gas, while the rest is supplied by earth, coal, and others. Indonesia is a country endowed with sufficient abundant gas resources. Since the 1970s, Pertamina had become one of LNG exporter in the world and had involved in the world class LNG infrastructure construction such as LNG facilities in Arun, Bontang, and Donggi Senoro. In addition, Pertamina also had a network of gas transmission and distribution pipelines and gas fields i.e. Mahakam and Corridor.

The role of natural gas for Indonesia's economic future will be quite prominent which primarily driven by growth in demand for gas from PT PLN (Persero) power plants for a total capacity of about 14 GW which is part of the Government’s 35 GW program and Refinery Development Master Plan project in four refineries and two New Grass Root Refinery owned by Pertamina. In addition, the growth will also be supported by additional fertilizer plant capacity and the transport sector.

"Those projects make gas demand is increasing and the next challenge is an effort that must be conducted to meet those request from upstream to downstream. Indonesia needs new investment to explore and develop new gas resources and to build gas infrastructure which will deliver it to the end consumer, "says Yenni in the opening of the International Indonesia Gas Conference & Exhibition 2017.

Based on her calculations, to build gas infrastructure thoroughly, Indonesia requires new investments of about US $ 70-80 billion till 2030. In addition to support the domestic gas compliance, the new investment also means creating thousands employment, triggering industry’s growth, and also stimulating Indonesia’s GDP growth.

"Gas Infrastructure investment is a long term investment for 30 years and become an investment for Indonesia to compete with other countries. Therefore, it requires coordination at all stakeholders, incentives, competitive prices and ensure domestic investment climate is good, "she explained.

Pertamina, said Yenni, as the pioneers of gas and LNG business on a global scale has made efforts to develop gas infrastructure in the entire gas value chain. Pertamina continuously develop upstream gas, setting the Mahakam block revitalization plan, build FSRU (Floating Storage Regasification Unit), develop a gas pipeline, and has preserved LNG supply from within and outside the country. Pertamina is ready to become an agent to stimulate the gas infrastructure growth and consumption in Indonesia.

Gas Purchase Agreement (GPA)

Meanwhile, on the same occasion today, Pertamina is signing a gas sale and purchase to supply Gas Fuel Filling Stations (SPBGs) and Domestic Gas Networks assigned by Government to Pertamina in Balikpapan. The gas supply comes from fields suppliers, namely Chevron Indonesia Company with a volume of 1.5 MMSCFD which apllicable until 2018.

The signing are conducted by VP Natural Gas of Pertamina, Wiko Migantoro.and VP Commercial of Chevron Indonesia John White, and witnessed by Vice Minister of EMR Arcandra Tahar.

From the supply, 1 MMSCFD is reserved for Mother Station SPBG Rapak Balikpapan and 0.5 MMSCFD is reserved for domestic gas network in Balikpapan. There are around 3,849 household connections that will get gas supply from the network operated by PT Pertagas NIaga.

About Pertamina (Persero)

Pertamina is Indonesia’s leading integrated energy company. We are committed to an ongoing process of transformation and continuous improvement with the objective to achieve global standards of operational, environmental, and corporate performance. Our businesses include exploration and production (oil and gas), refining, manufacturing and marketing of oil products and petrochemicals. We are also engaged in the development of biofuels, geothermal power and other sustainable alternative energy sources.

Origine : Communiqué PERTAMINA

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