Wed, 29 Sep 1999

U.S. assists gas study

JAKARTA (JP): The United States Trade and Development Agency will provide US$302,400 for a natural gas development study in Indonesia aimed at helping the government establish a policy for the sector and create an infrastructure framework.

Minister of Mines and Energy Kuntoro Mangkusubroto said on Tuesday the government felt developing a gas master plan was necessary to develop the country's natural gas industry. He also said this study would provide key input for this master plan.

The study will include market identification, a review of proven natural gas reserves to be used for domestic consumption, conceptual design of the transmission and distribution systems, investment phasing, procurement and pricing policy proposals and recommendations for codes and standards.

"This study will further stimulate and provide guidance to investors," Kuntoro said.

He said the money was earmarked for Lemigas, a state-run oil and gas research and development center, while The Gas Technology Center, with its international counterpart the Institute of Gas Technology, would act as project consultants.

He said the U.S. agency would also assist in designing an infrastructure framework in West and East Java. (01)