Pertamina Gas Sets Aside $400 mn for Gas Infrastructure Project in Indonesia

Pertamina Gas has set aside $400 million in capital expenditure this year to continue work on gas transmission and distribution projects in Indonesia that were started in 2014, Jakarta Globe newspaper said Thursday in a report.

Projects include pipelines from Porong to Grati, both in East Java, and Muara Karang to Tegalgede in West Java, planned to be operational later this year. The company would also begin work on the gas pipeline in Sumatra, by connecting the pipes in Arun and Belawan to the pipes in Medan Industrial Area (KIM) and to the ones in Sei Mangkei Special Economic Zone (KEK), the newspaper reported.

Besides developing the gas pipelines, the company was constructing a $28 million LPG refinery in Mundu, which is scheduled to be operating in March, and a $162 million LNG refinery in Bali, which is targeted to be start in late 2015.