Pertamina of Indonesia and Bumi Sarana Migas, a Kalla Group unit, have reportedly signed an initial deal to construct a 4mtpa LNG receiving terminal.
With the increase of domestic gas consumption and a drop in the country’s production, Indonesia is looking to import more LNG.
Proposed Bojonegara LNG receiving terminal in Banten is scheduled for completion in 2019, according to Pertamina’s CEO Dwi Soetjipto, adding that a gas-fired power plant will be added to the terminal, Reuters reports.
According to Bumi Sarana director Solihin Jusuf Kalla, the company expects to complete the project within the three-year time frame as the two companies have completed the pre-feasibility studies.
Pertamina should use 100% of the terminal’s regasification capacity over a period of 20 years.
This will be the country’s second land-based LNG import facility.
LNG World News Staff; Image: PT Pertamina