The Jakarta Post
State-owned gas company Perusahaan Gas Negara (PGN) says it will develop gas infrastructure in the Riau Islands as part of its commitment to support the government in implementing its oil-to-gas energy conversion programs.
PGN director of infrastructure and technology Djoko Saputra said the Riau Islands provincial administration would support the company in obtaining the supply of gas by allocating gas resources in Riau Islands for its program.
"Through this, gas infrastructure development and utilization will help strengthen the province's energy resiliency and boost its economy," said Djoko in a statement over the weekend.
Among projects that will be the focus of PGN in its cooperation include the construction of a 6-kilometer long natural gas pipeline, connecting the West Natuna Transmission System (WNTS) and Pemping Island. PGN will also build a 600-km long gas pipe to connect the Natuna Sea oil and gas field and the Riau islands.
As of the third quarter of 2015, PGN said it had built and was operating 6,470 km worth of natural gas pipelines, or 76 percent of national downstream natural gas pipelines. PGN is nearing completion on a number of infrastructure projects in the country. The company serves more than 105,000 customers.
"PGN will continue to encourage the use of natural gas and cooperate with other stakeholders. Natural gas has proven to be a good energy source as it is environmentally friendly, efficient and safe," Joko said.
The Riau Islands provincial administration's head of mining and energy agency ,Rahminuddin, said the cooperation between the provincial administration and PGN was a strategic move to optimize the use of natural resources for the welfare of people in the province.
"All this time, we could only look at our natural gas sources transported from Riau Islands to Singapore and other areas without getting the benefits we deserve. Together with PGN, the Riau Islands provincial administration wants to improve people's welfare and boost development," Rahminuddin said. (ebf)
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