PGN Taps Tanjung Enim's 9.7 TCF Coalbed Methane Potential to Bolster Energy Security

PT Perusahaan Gas Negara (Persero) Tbk (PGN), as Pertamina’s Gas Subholding, is fully committed to optimising the use of domestic gas potential to support the strengthening of national energy security. One initiative currently underway is the utilisation of Coalbed Methane (CBM), a coal-based gas that can be processed into methane to augment PGN’s supply. For PGN, developing CBM in Tanjung Enim opens up opportunities to monetise domestic unconventional gas resources that have so far been underutilised. This initiative also serves as an option for diversifying PGN’s domestic gas supply to support industrial and power generation needs. According to Directorate General data, the CBM potential in Tanjung Enim is estimated at approximately 9.7 TCF Original Gas in Place (OGIP), with an estimated gas potential value of around US$15.4 billion. PGN has affirmed its technical and commercial readiness through the formulation of existing natural gas utilisation schemes, with distribution targets projected to grow gradually from 1 MMSCFD to 25 MMSCFD. PGN received a working visit from Presidential Chief of Staff General TNI (Ret.) Dudung Abdurachman and his staff at the Pagardewa Gas Receiving Station and Gas Compressor Station. The Presidential Staff Office (KSP) attended to ensure all national priority programmes run effectively and on target, particularly those closely related to energy security, increasing domestic production capacity, and reducing dependence on energy imports. The Presidential Chief of Staff stated that accelerating the CBM utilisation development project is a shared concern due to its strategic value for national interests. He noted that while several administrative aspects still need to be resolved, including adjustments to the Detailed Spatial Plan (RDTR), all parties have agreed on the importance of expediting completion in accordance with applicable regulations. The KSP is pushing for the resolution of cross-sector obstacles so that the Coalbed Methane development in the Muara Enim region can soon enter the commercialisation phase, with administrative completion still following prevailing mechanisms and provisions. PGN President Director Arief K. Risdianto expressed appreciation for the KSP’s support of PGN’s efforts to strengthen domestic natural gas and reduce national energy imports, particularly in leading solutions to overcome obstacles in developing natural gas infrastructure in the Pagardewa area and its surroundings. In addition to CBM, PGN is also pursuing potential supply from biomethane derived from palm oil waste and Synthetic Natural Gas (SNG). The supply potential from these three sources is very large in South Sumatra. ‘In an effort to maintain supply stability while utilising available natural resources in South Sumatra, PGN is developing injection point infrastructure. This infrastructure serves as a gas collection point, where gas sourced from three supplies—coalbed methane, biomethane, or other sources—will be gathered and then fed into the existing transmission pipeline,’ Arief explained in an official statement. The integration of pipeline and non-pipeline-based infrastructure is the main key to the effectiveness of this energy absorption. With a solid track record and an extensive natural gas infrastructure portfolio as Pertamina’s Gas Subholding, PGN is ready to carry out its strategic role as the main bridge between gas supply source points and the public, while adhering to the principles of good corporate governance. Despite operational readiness, PGN underlined that accelerating this strategic project requires support from all stakeholders. Therefore, PGN considers the KSP’s support to play an important role in bridging communication between stakeholders so that coordination can run more tactically and effectively, aligned with each party’s role and clear follow-up actions at every level. ‘PGN affirms its long-term commitment to continue overseeing Government policy. From the Muara Enim and Pagardewa region, PGN is determined to deliver clean, reliable domestic energy solutions that provide a broad multiplier effect for the community and contribute to the regional economy,’ Arief concluded.