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Indonesian gas utility closes tender for LNG FSU

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LNG Industry,

According to Reuters, PT Perusahaan Gas Negara (PGN) – an Indonesian gas utility company, and a unit of state-owned Pertamina – is looking to lease an LNG floating storage unit (FSU).

Reuters reports that the utility issued a tender in July (closing on 14 August), and is looking for an FSU with a capacity of more than 26 500 m3.

Speaking to Reuters, a PGN official said: “It’s related to the project in East Java (Teluk Lamong).”

According to Reuters, PGN is working alongside state port companies to construct the small Teluk Lamong LNG terminal for LNG distribution in East Java. In March, the company said that it was expected to start by the end of 2019.

Gas is expected to be sourced from domestic fields such as Bontang and Tangguh, but the company has said that it could even look to imports if these supplies dwindle.

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