Pertamina Inks Domestic Supply Deals

Indonesian state-run Pertamina has agreed to supply 318.6 Btu/day of natural gas to domestic consumers, the company said on May 30 in a statement. According to the energy ministry decree, the agreements are valid until 2024 and can be extended.

Pertamina will supply 183.2 Btu/d of gas to the fertilizer industry, 10 Btu/d to steel sector and the 125.45 Btu/d to the other industrial customers. The gas will be supplied by Pertamina subsidiaries Pertamina EP and Pertamina Hulu Energi.  

A natural gas sales agreement for the fertilizer sector was signed between Pertamina EP with state-owned producer, Pupuk Sriwidjaya, for the South Sumatra region; and between Pertamina Hulu Energi with Pupuk Kujang Cikampek for the fertilizer industry in the West Java region. 

As for the steel sector, Pertamina signed an agreement with steel-maker, Krakatau Steel, which operates in West Java, Jakarta and Banten.

For the industrial sector, Pertamina EP and Pertamina Hulu Energi have agreed on supplying gas to Perusahaan Gas Negara and Pertagas Niaga for the North Sumatra, South Sumatra and West Java regions. In addition, natural gas sales agreements have also been signed with Banten Inti Gasindo, Energasindo Heksa Karya, Bayu Buana Gemilang, Pelangi Cakrawala Losarang and Sadikun Niagamas Raya.