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Indonesia’s LNG base

Updated On: Apr 27, 2009

Indonesia’s three state-managed energy companies have made the decision to construct a marine base to manage, store, receive and re-gasify Liquefied Natural Gas (LNG)

The three companies involved as oil firm PT Pertamina, gas company PT Perusahaan Gas Negara and electric company PT Perusahaan Listrik Negara.

They first announced this decision in 2008.

This base is located off the north coast of Jakarta. It will be built on the main island of Java while another will be located on Sumatra.

Constructing the base at sea instead of land will reduce the construction cost by half.

Original plans for a large scale were downsized due to concerns about profitability.

When completed and running at full capacity, the new base will process 4 million metric tons of LNG annually.

The companies have an intension to accelerate the decision-making process when it comes to deliberating over construction and other minute details for this project.

Sources:

The Nikkei Weekly, “Kao decides to get aggressive in Asia” dated 13 April 2009 in The Nikkei Weekly (Japan: Nikkei Weekly), 2009, p. 14.







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