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    Indonesia's PLN, Pertamina to Develop CBM for Electricity

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Summary

Indonesia’s state power utility PT Perusahaan Listrik Negara (PLN) and PT Pertamina Hulu Energi (PHE), a subsidiary of state oil and gas firm PT Pertamina, plan to develop coal bed methane for generation of electricity in Sangatta, East Kalimantan, and Muara Enim, South Sumatra.

by: Shardul

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Asia/Oceania

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Indonesia's PLN, Pertamina to Develop CBM for Electricity

Indonesia’s state power utility PT Perusahaan Listrik Negara (PLN) and PT Pertamina Hulu Energi (PHE), a subsidiary of state oil and gas firm PT Pertamina, plan to develop coal bed methane for generation of electricity in Sangatta, East Kalimantan, and Muara Enim, South Sumatra, media reports said Monday.

The output is expected to be between 0.1 mmscfd and 0.5 mmscfd for the two blocks. The two parties along with and upstream oil and gas regulator BPMigas are currently discussing terms and conditions for gas sales and purchase.

PLN will sell the gas produced from a CBM block and Pertamina Gas (Pertagas) will channel the gas to PLN.

PHE is currently developing CBM in 11 locations across the country, but only four have begun production. 

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