Indonesia to reallocate LNG to North Sumatra

摘要

Indonesia's BPMigas hopes to reallocate some of the 3.7-million-tonnes of LNG a year (mt/y) that was promised to US-based Sempra Energy to domestic markets, The Jakarta Post reported Feb. 9. Amid mounting pressure from domestic buyers for more supply, the government entity is "negotiating with Sempra on the future.. .allocation," said Rudi Rubiandini, BPMigas' deputy for operations. However, he says, all clauses in the 2004 sales and purchase agreement will be complied with. "We hope we can take back more than 75 percent of a total allocation of 3.7 mt/y (approximately 2,8 mt/y)," Rubiandini added. Under the contract, the government has to pay Sempra a diversion fee of US$0.50 per million British thermal units (MMBtu). If the government is successful, Indonesia's ministry of energy and mineral resources would decide where the gas would be best utilized, said the deputy. "It is the authority of the government to determine where the gas will be channeled. BPMigas will do whatever the government decides," he said.