Pertamina signs agreement with PLN to supply plant

PERTAMINA - State-owned energy company Pertamina has signed an agreement with state-owned electricity company PT PLN to supply a power plant with a capacity of 2x20 megawatts in a remote area of Sambera, East Kalimantan, with liquefied natural gas (LNG).

Pertamina gas director Yenni Andayani said Pertamina, through its subsidiary PT Pertagas Niaga, would transport the LNG to the power plant with trucks.

“The LNG will be transported by truck, especially to remote areas that are not connected to gas pipelines,” said Yenni as reported by tempo.co on Friday. The 7.9 million standard cubic feet per day (MMSCFD) of LNG supply will start in April 2018.

Pertamina has prepared 20 trucks to transport the LNG from Bontang to Sambera, a distance of about 70 kilometers, she said. The agreement is valid for five years.