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RI signs 2nd LNG import deal with Cheniere
State-owned oil and gas company PT Pertamina has signed a second agreement to buy liquefied natural gas (LNG) from US-based Cheniere Energy Inc
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tate-owned oil and gas company PT Pertamina has signed a second agreement to buy liquefied natural gas (LNG) from US-based Cheniere Energy Inc., as Pertamina looks overseas to fill gaps left by struggling domestic gas fields, according to Reuters.
Pertamina has agreed to purchase 0.76 million tons of the super-cooled gas per year for 20 years, beginning in 2019, Pertamina said in an emailed statement on Wednesday.
The deal follows a similar agreement signed in December to purchase 0.8 million tons from 2018, which was the first LNG import deal by Southeast Asia's largest economy.
'This long-term contract [and] gas sales agreement shows our commitment to securing our LNG supply for the company's LNG infrastructure,' Pertamina gas director Hari Karyuliarto said in the statement.
'This is in line with our strategy to dominate the LNG market and catch opportunities from the growth in domestic gas demand, especially in electricity and industry.'
Indonesia faces a decline in LNG production, while domestic demand for gas in the country is rising steadily by at least 10 percent annually.
Similar to the first deal, the gas will be supplied by an LNG project currently under construction near Corpus Christi in Texas.
