Welspun wins $84m bid for PGN

Welspun wins $84m bid for PGN

JAKARTA: Welspun Gujarat Stahl Rohren Ltd., an Indian maker of
pipes, won a Rp 840.4 billion (US$84 million) order to supply
coated pipes to state gas distributor PT Perusahaan Gas Negara
(PGN).

The pipes will be used to connect Labuhan Maringgai in Lampung
with Muara Bekasi in West Java, Widyatmiko Bapang, PGN corporate
secretary said on Friday.

The 168.6 kilometer-long underwater pipeline will have a
diameter of 32 inches, Bapang said. The project will start in
March 2006 and is expected to finish a year later, he said.

Welspun Gujarat will work with local partner PT South East
Asia Pipe Industries, a unit of PT Bakrie & Brothers, a company
controlled by the family of Coordinating Minister for the Economy
Aburizal Bakrie.

"With the signing of this contract, PGN has contracted all the
pipelines needed for South Sumatra-West Java pipelines project,"
PGN President Director W.M.P Simandjuntak said.

"We're now ready to start the construction, and hopefully can
speed up the completion to November 2006." -- Bloomberg