Pertamina, Faraway sign deal

JAKARTA (JP): Indonesia's state-owned oil and gas company Pertamina has signed a tanker leasing agreement with Faraway Maritime Shipping Company, a director of the company said yesterday.

Pertamina's director of shipping, port and communication, Kartiyoso, said in Jimbaran, Bali, that the long term agreement would be effective beginning 2000.

Mitsubishi Heavy Industries Ltd of Japan would build the tanker in two and a half years, he was quoted by Antara as saying.

The tanker will be designed to carry liquefied natural gas (LNG) and have a loading capacity of 135,000 cubic meters.

Kartiyoso said the leasing agreement was in line with Indonesia's plan to increase its LNG exports from the current 26 million tons a year to 30 million tons a year by 2000.

He said Indonesia's annual LPG production was 26 million tons, which was all exported. (bnt)