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Jakarta Post

PLN switches gas supplier to Pertamina after Petronas contract ends

  • Norman Harsono

    The Jakarta Post

Jakarta   /   Wed, October 2, 2019   /   02:54 pm
PLN switches gas supplier to Pertamina after Petronas contract ends State-owned gas company Perusahaan Gas Negara (PGN) workers check pipelines of gas channeled to power plant operator PT Indonesia Power at a gas meter station in Tambak Lorok, Semarang, Central Java. (JP/Suherdjoko)

State-owned utility company PLN is changing from Malaysia’s Petronas to Indonesia’s Pertamina in providing fuel for its 1,000 megawatt gas-fired power plant in Central Java province, said a government official.

“Right now, from the upstream, PLN is being supplied by the Gundih gas field and, going forward, it will also get supply from the Jambaran-Tiung Biru field,” said Upstream Oil and Gas Regulatory Special Task Force (SKK Migas) spokesman Wisnu Prabawa Taher.

He added that the Gundih field would supply around 50 million standard cubic feet per day (mmscfd) to the plant until Jembaran’s gas became available by around 2024.

Pertamina subsidiaries Pertamina EP (PEP) and Pertamina EP Cepu (PEPC) operate,  respectively, the Gundih and Jambaran-Tiung Biru fields. While the former field has been onstream since 2013, the latter field is expected to go onstream by 2021.

PLN previously received gas from Petronas’s Kepodang gas field until the two company’s gas sales agreement ended on Sept. 23. The termination was made known when publicly-listed state-owned gas company PGN – the minority owner of Kepodang – issued an announcement to shareholders on the subject.