S. Korean firm interested in RI's LNG<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
South Korean electricity company Korea Electric Power Corp.
\n(Kepco) has voiced interest in purchasing liquefied natural gas
\n(LNG) from Indonesia, Minister of Energy and Mineral Resources
\nPurnomo Yusgiantoro said on Thursday.<\/p>\n
Purnomo said he would visit South Korea for discussions with
\nKepco.<\/p>\n
"We have not yet decided which plant will supply the LNG,"
\nPurnomo was quoted by Antara as saying.<\/p>\n
If a deal is reached, Kepco is expected to buy between 1.1
\nmillion tons and 1.5 million tons of LNG per year from Indonesia
\nstarting in 2006, the minister said.<\/p>\n
Purnomo said Kepco initially wanted to invest in Indonesia's
\npower sector. The government welcomed this plan, but suggested it
\nalso buy LNG from the country.<\/p>\n
A deal, if reached, would be more good news for the country's
\nLNG industry, which is anxiously looking for buyers match its
\nabundant capacity.<\/p>\n
Indonesia has dominated the region's LNG market for decades,
\nbut recently several new players, including Malaysia, Australia,
\nQatar, Russia and Brunei, have entered the picture.<\/p>\n
Last year, Indonesia lost out to Australia in a tender to
\nsupply three million tons of LNG annually to China's Guangdong
\nprovince beginning in 2005. It was instead awarded a contract to
\nsell 2.6 million tons a year to China's Fujian province beginning
\nin 2007.<\/p>\n
Indonesia also lost out to Qatar in a tender earlier this
\nmonth to supply LNG to Taipower. This led to speculation that
\nplans to build the country's third LNG plant, called Tangguh, in
\nPapua might be canceled. The plant is being developed by a
\nconsortium led by Anglo-American energy firm BP PLC.<\/p>\n
However, Purnomo said last week that Indonesia had won the
\ntender for the supply of 1.5 million tons of LNG per year to
\nSouth Korean power firm SK and steel producer Posco. The South
\nKorean firms have yet to confirm Purnomo's statement.<\/p>\n
Also last week, Indonesia signed a memorandum of understanding
\nwith Texas-based Marathon Oil Corp. to supply LNG from Indonesia
\nto Mexico and the United States.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/s-korean-firm-interested-in-ris-lng-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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