Indonesian gas utility closes tender for small LNG FSU

Illustration; LNG FSU vessel; Author: NAC; Source: Wikimedia – under the license CC BY-SA 4.0

Indonesian gas utility company PT Perusahaan Gas Negara (PGN), a unit of state-owned Pertamina, has reportedly been looking to lease a floating storage unit (FSU) for liquefied natural gas (LNG).

The utility, in a tender issued in July and closing on August 14, is looking for an FSU with a capacity of above 26,500 cubic meters, an unnamed PGN official told Reuters on Wednesday.

According to the official, it’s related to the Teluk Lamong project in East Java.

PGN, in cooperation with state port companies, is building the Teluk Lamong small LNG terminal for LNG distribution, which was expected to start by end of this year.

Sources added that it was expected to source gas from the domestic fields such as Bontang or Tangguh or could look to imports if domestic gas supply dwindles.

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