Pertamina to build $1.9 billion gas project
Thu, August 2 2012 11:55 | 1192 Views
Jakarta (ANTARA News) - State energy company PT Pertamina said it will build a network of integrated US$1.9 billion gas infrastructure in the country.
Pertamina will likely also issue bonds to raise fund but around 70 percent of the investment will be covered with project finance.
The integrated project is included in the Pertamina gas strategy road map to cover all regions in the country until 2025, Pertamina gas director Hari Karyuliarto said.
The project will include conversion of the Arun liquefied natural gas plant in Aceh into a regasification facility. The regasification facility will need additional pipelines to reach other regions in Sumatra,
In Java , Pertamina will build inland regasisification facilities and trans-Java pipelines, Hari told reporters here on Wednesday night.
In eastern Indonesia, Pertamina will build mini gas terminals and regasification facilities in strategic locations, he said.
The project will be financed with internal fund of Pertamina , loans and project finance by investors, he said.
"Pertamina will likely also issue bonds to raise fund but around 70 percent of the investment will be covered with project finance," he said.
"Project finance scheme is the right way to be used with the limited funding capacity of Pertamina," he said.
Under the scheme the project will be financed by financial consortium , he added.
(T.SYS/B/H-ASG/O001) 02-08-2012 11:43:14
Editor: Ella Syafputri
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