Gas Negara to complete $1.1b pipeline project<\/p>\n
JAKARTA (JP): State-owned gas company PT Gas Negara will
\ncomplete 1,040 kilometers of natural gas pipelines worth US$1.1
\nbillion in Sumatra by 2000.<\/p>\n
The company's president, Qoyum Tjandranegara, said the first
\npipeline, spanning 540 kms from southern to central Sumatra, is
\nfinanced by a $470 million loan from the Asian Development Bank
\nand a $120 million syndicated loan led by the European Investment
\nBank.<\/p>\n
"The second pipeline project covering 500 kms from the
\nsouthern part of Sumatra to West Java is financed by a $300
\nmillion loan from the World Bank and another $300 million loan
\nfrom our strategic partner," he told reporters on Thursday
\nevening.<\/p>\n
He said that the company is now selecting several foreign
\ncompanies to become strategic partners.<\/p>\n
The coordinator of Gas Negara's Trans Indonesia Gas Pipeline
\nProject, Nursubagjo Prijono, said that four companies -- Navacorp
\nof Canada, British Gas, Gas du France and Technicorp of United
\nStates -- had applied to become partners.<\/p>\n
"We are now evaluating the financial and technical ability of
\nthe companies," he said, adding that the selected partners would
\nbecome shareholders in the new company to be set up to manage the
\npipeline.<\/p>\n
Qoyum said that the 540 km Asamera-Duri-Batam pipeline would
\nbe completed in October 1997.<\/p>\n
The second project, scheduled to be completed in 2000, will
\nconnect the gas pipeline in Cilegon, West Java, with Asamera. It
\nwill run 500 kms, he said.<\/p>\n
"The two projects are part of the planned Indonesian
\nintegrated gas pipeline system," he added.<\/p>\n
He said that the integrated pipeline system will span 2,195
\nkms from Riau in central Sumatra to Porong in East Java. Its is
\nscheduled to be completed by 2006. (04)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/gas-negara-to-complete-11b-pipeline-project-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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