E. Java Power, Pertamina sign gas supply agreement<\/p>\n
JAKARTA (JP): Private electricity company PT East Java Power
\nCorp. signed yesterday an agreement with state-owned oil company
\nPertamina to supply natural gas to its 500 Megawatt (MW) power
\nplant in Pasuruan, East Java.<\/p>\n
The agreement was signed here by Pertamina's president Faisal
\nAbda'oe and East Java Power's president Robert Baldwin Junior.<\/p>\n
According to the agreement, Pertamina will supply about 30
\nbillion cubic feet of natural gas per year to East Java's
\ncombined cycle power plant.<\/p>\n
The gas will be supplied from an offshore gas field 62
\nkilometers east of Surabaya and 16 kilometers off Madura island,
\noperated by Pertamina's production sharing contractor Mobil
\nMadura Straits Inc.<\/p>\n
Pertamina will deliver the gas via a 60 kilometer underwater
\npipeline to be constructed from the Madura gas field to the
\nprocessing plant on Kambing Island and on to East Java Power's
\npower plant in Pasuruan.<\/p>\n
East Java Power is 50.1 percent owned by Enron Java Power
\nCorporation, an affiliate of Enron International of the United
\nStates; 25 percent by PT Pasuruan Power, controlled by Bambang
\nTrihatmodjo, President Soeharto's second son; and 24.9 percent by
\nPrince Holdings Ltd. of Hong Kong.<\/p>\n
East Java Power signed a power purchase agreement with state-
\nowned electricity company PLN in November 1996 to purchase power
\nfrom the gas-fired combined cycle power plant under a 20-year
\nbuild-operate-own scheme. PLN will buy the power at 5.76 US cents
\nper kilowatt hour (KWh).<\/p>\n
The power plant, worth US$575 million, is scheduled to come on
\nstream in early 2000.<\/p>\n
Mobil Madura Straits, operator of the Madura offshore gas
\nfield, is a consortium consisting of Mobil Corporation of the
\nUnited States (69 percent) and Husky Oil International Ltd. of
\nCanada (31 percent).<\/p>\n
Mobil Madura said yesterday it would invest US$300 million to
\nbuild an offshore gas rig, processing facilities on Kambing
\nIsland and the 60-kilometer pipeline linking the gas field,
\nKambing Island and East Java Power facilities.<\/p>\n
The company said the gas field, which contained 455 billion
\ncubic feet of natural gas, was scheduled to start production in
\n2000. (jsk)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/e-java-power-pertamina-sign-gas-supply-agreement-1447893297",
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