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Jakarta Post

Post-LNG Arun: What are the options?

  • Hanan Nugroho

PREMIUM
Jakarta   /   Mon, September 20 2010   /  09:06 am

The Arun LNG facility has been an important contributor to the positive balance of Indonesia’s national natural gas/LNG trade. Arun (Lhokseumawe, Nanggroe Aceh Darussalam) has made noticeable contributions to the national and local economy for more than three decades.
Arun’s production coupled with output from Bontang LNG (East Kalimantan) made Indonesia the world’s largest exporter of LNG for more than two decades, during which time LNG has been a major contributor to export earnings and government revenues.
The LNG landscape lies in stark contrast to the potential of Indonesia’s oil trade, where crude exports continue enduring a steady decline while import of crude and petroleum products continue to rise.
Indonesia’s natural gas industry is in a much more lucrative position simply based on the fact that Indonesia does not import natural gas, while domestic industri...