Japan's JGC wins Indonesia gas plant EPC contract
Japan’s JGC Holdings Corp has been awarded an engineering, procurement, and construction (EPC) contract by London-listed Jadestone Energy for a gas processing plant and an associated pipeline in Indonesia, the company said on June 20.
The processing plant, with a capacity of 25mn ft3/day, and a 17 km sales gas pipeline will be built in Jambi, South Sumatra, around 600 km northwest of Jakarta.
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The project calls for the construction of facilities to purify natural gas from Jadestone's Akatara gas field, along with a pipeline to transport the sales gas. The gas will be used as fuel at gas-fired power plants.
Jadestone late last year reached an agreement to sell gas from the Akatara gas field to local utility Pelayanan Listrik Nasional Batam, which has committed to take 20.5bn Btu/day of gas starting in the first quarter of 2024.
The company aims to take a final investment decision on Akatara in the first half of 2022 and bring the field on stream in the first half of 2024. Akatara was previously developed as an oil asset but is assessed to hold 63.74bn ft3 in 2C gas resources.