Kogas to Receive LNG from Tangguh Plant

Korean Gas Corporation (Kogas) will receive 16 liquefied natural gas shipments from Indonesia’s Tangguh plant in West Papua, which were previously allotted for Sempra Energy, a California-based energy firm, Jakarta Globe quoted Rudi Rubiandini, the chief of Indonesia’s temporary oil and gas regulator, SKMigas as saying. The shipments will begin this year until 2016.

Tangguh LNG plant in West Papua, is operated by BP which has a 37 percent stake in the project. 

Based on the original contract, Sempra was supposed to receive as much as 3.7 million tons of LNG annually from Tangguh LNG, with the government having an option to sell 50 percent of its quota to another buyer if it offers a better price, the Indonesian daily said. 

Rudi said that the price for LNG cargos to the Korean Gas Corporation would be at around $14.85 per million metric British thermal unit, depending on the price of Japan Crude Cocktail.