Bimantara to build 60km pipeline
Bimantara to build 60km pipeline
JAKARTA (JP): Bimantara Group, a holding company controlled by
Bambang Trihatmodjo, will build a 60-kilometer pipeline from the
Kambing and Kemiri islands, north of the Madura sea, to Porong in
East Java, an official said yesterday.
An assistant to the regional secretary of the East Java
Governor's Office, Hamzens, was quoted by Antara as saying that
Bimantara applied to the East Java administration for local
permits regarding location and land acquisition for the pipeline
project.
He gave no details on the investment value of the project or
when the construction will be started.
"The new pipeline will be connected with the sub-marine
section of the 400-km Pagerungan pipeline which has been
operating since 1993 to supply gas to state gas company PGN,
state petrochemical company PT Petrokimia Gresik and a power
plant in Gresik," Hamzens said in Surabaya, East Java.
The 400-km gas pipeline from Madura to Gresik was also built
by the Bimantara Group.
He said the gas from Kambing and Kemiri islands, which was
discovered by the state oil company Pertamina's foreign
contractors, including Mobil Oil of the United states, will be
distributed to a new private power project at Grati in Pasuruan,
East Java.
Hamzens said the US$520-million power plant will be built by
the Pasuruan Power Company, a company controlled by tycoon
Ibrahim Risjad, in cooperation with Enron and Price Holding of
the United states. The project is scheduled to come on stream in
1999 with a generation capacity of 500 megawatts. Its
construction will start in October.
Director of Private Electricity of the Ministry of Mines and
Energy Moeljadi Oetji said recently that the government has
approved the sale price for electricity from the Grati power
plant. The price will be 5.88 U.S. cents per kilowatt hour.
The Grati power plant will be the third private power plant in
East Java. Two coal-fired power plants with a combined capacity
of 1,200 megawatts at Paiton are now being built by two consortia
led respectively by PT Batu Hitam Perkasa and Bimantara
Group.(04)