Consortium to start gas project at once<\/p>\n
CALGARY (Reuter): Gulf Canada Resources Ltd and Talisman
\nEnergy Inc said that construction of the Corridor Block Gas
\nProject in South Sumatra, Indonesia would begin immediately.<\/p>\n
The companies said a consortium comprising PT Pertafenikki
\nEngineering, JGC Corp. and Willbros Far East Inc. was contracted
\nto build the gas plant and related field facilities for the
\nUS$600-million project.<\/p>\n
They said Wednesday the recent signing of the Early Work
\nContract was expedited by strong support from participants, which
\ninclude the Indonesian government, state oil company Pertamina,
\nthe Asian Development Bank and Perum Gas Negara.<\/p>\n
Under the plan, state-owned PGN would build and operate a 540-
\nkm gas pipeline to the Duri steamflood and a 280-km spurline to
\nBatam Island.<\/p>\n
The Asian Development Bank, which underwrote the project's
\nloan, and PGN also agreed on a list of approved pipeline
\ncontractors that may bid on the Duri pipeline project, they said.<\/p>\n
The Corridor project was designed to produce about 300 million
\ncubic feet per day of natural gas.<\/p>\n
First sales of 80 million cubic feed per day are scheduled for
\nmid-1998, with full shipments starting in late 1998.<\/p>\n
About 270 million cubic feed per day would go to Duri, where
\nit would displace up to 45,000 barrels per day of crude oil
\ncurrently used to generate steam for enhanced oil recovery.<\/p>\n
The displaced crude oil would be received as payment for
\nCorridor gas.<\/p>\n
The remaining gas would be transported to Batam for power
\ngeneration, fetching prices equivalent to those at Duri.<\/p>\n
Capital costs in 1996 were expected to total about US$77
\nmillion, the companies said.<\/p>\n
Gulf unit Asamera (Overseas) Ltd has a 54 percent interest in
\nthe Corridor Block PSC and is operator. Talisman subsidiary
\nTalisman (Corridor) Ltd has a 36 percent stake and Pertamina has
\n10 percent.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/consortium-to-start-gas-project-at-once-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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