Pertamina Keen on Tangguh LNG

Pertamina plans to buy gas from Tangguh plant in Papua to supply a planned liquefied natural gas terminal in Arun and the company has written to the government regarding the issue.

Due to reduced LNG demand from US, local players are vying for the gas from Tangguh plant.

Pertamina plans to convert its Arun LNG plant into an LNG receiving terminal and regasification unit, via a $378 million investment.

At present, the Arun plant produces 6.5 million metric tons of LNG each year.

Meanwhile, Pertamina hopes to increase gas output at its Pondok Makmur field.

The company currently produces between 12 and 13 million standard cubic feet per day [mmscfd] of gas which is likely to jump to 20 mmscfd in the second semester.

Out of ten wells on the site, four have started operating. The Pondok Makmur field has total proven reserves of 12.9 billion cubic feet (bcf) of gas.