PT Perusahaan Gas Negara Tbk (PGN) and Mubadala Energy (South Andaman) will conduct a joint study on the utilization of natural gas from the South Andaman Cooperation Contract (PSC). This collaboration includes exploring the development of gas pipeline infrastructure and options for utilizing potential LNG infrastructure.
The Memorandum of Understanding (MoU) between PGN and Mubadala Energy is a continuation of the previous MoU signed in October last year, to conduct a study on the Arun refinery facilities and regasification terminal, to support upstream oil and gas activities.
With promising production prospects, this Memorandum of Understanding (MoU) is a further step in developing a plan to utilize gas supplies to meet the increasing demand for natural gas in various sectors and regions, including Sumatra and Java after the construction of the Duri-Dumai-Medan pipeline is realized. In addition, this study will also explore LNG development options to support needs throughout PGN's operational areas.
'PGN welcomes the collaboration in this corporate initiative to explore the utilization of gas supplies from the South Andaman PSC, which has the potential to support increased domestic energy security, in line with domestic natural gas needs that will continue to increase,' explained PGN Commercial Director, Ratih Esti Prihartini.
'PGN will involve Subsidiaries and Subsidiaries, namely Pertagas and Perta Arun Gas to review the readiness of infrastructure that has the potential to be developed and utilized to support the distribution of natural gas from Andaman to potential customers. PGN Group prioritizes transparency regarding the data submitted for the activities of the South Andaman KKS area and pays attention to good corporate governance (GCG),' said Ratih.
Abdulla Bu Ali, President Director of Mubadala Energy Business Unit Indonesia said, 'We welcome this collaboration as a step in unlocking gas potential in South Andaman. This also confirms our commitment to supporting national energy security.'
Meanwhile, Vice President of Corporate Communication of PT Pertamina (Persero), Fadjar Djoko Santoso said, 'Pertamina has made gas one of the priority energies in the energy transition era, so the availability of natural gas supply and infrastructure is very much needed.
'This collaboration is expected to support Pertamina's program in strengthening domestic gas supply,' concluded Fadjar.
Source: Pertamina
