PGN MoU Subsidiary For Lengo Field Development With AWE (Satria) NZ

Gas illustration (Photo; Doc. Antara)

JAKARTA - A subsidiary of PT Pertamina Gas Negara Tbk, PT Kalimantan Jawa Gas (KJG) signed a new collaboration in the development of Lengo Field. Director of KJG, R. Mohamad Edwin said this collaboration is a form of KJG support as an alternative to the development of Lengo Field which is located around the waters of Bulu, East Java.

KJG as the party with a transmission pipe in the Java Sea will distribute the gas to the Onshore Receiving Facility (ORF) or the KJG natural gas receiving facility in Semarang.

AWE (Satria) NZ Ltd. as a non-operator KKKS based on its best efforts will cooperate with the PSC Bulu Operator to develop Lengo Field commercialization. This collaboration also provides an opportunity for PGN Group to participate in developing the gas field.

"KJG as an experienced gas transportation company for approximately 10 years, already has the capability to manage and operate gas pipelines. For this reason, we are optimistic that this collaboration will develop and run smoothly, and hope it can be realized soon," said Edwin in a statement to the media, Tuesday, October 24.

With this business cooperation growing, Edwin hopes that in the future more companies will collaborate with KJG, in order to support the program to provide clean and sustainable energy, especially for the areas of Semarang and Central Java.

"KJG as a gas transportation company, owns and operates the infrastructure for transporting natural gas transmission pipes along approximately 200 KM with a diameter of 14 inch," he added.

This pipeline connects gas sources from the Muriah Working Area Kepodang Field with the KJG's ORF facility in Tambak Lorok, Semarang, Central Java. The current role of KJG is to transport gas needs to the electricity sector that serves PT Indonesia Power and meets gas needs for the Central Java industry, with total gas distribution of 10-25 BBTUD.

Furthermore, KJG participated in meeting the gas needs sourced from Saka Energi Muriah's Kepodang gas well to ORF KJG Tambak Lorok which was utilized to meet SPBG needs, distribution of PGN in the electricity, industry, commercial, and household sectors of 12 MMSCFD.

Since 2022, KJG Pipes have also distributed gas to SPBG in Central Java and East Java until 2024 with a volume of 4 MMSCF according to the Minister of Energy and Mineral Resources Decree No. 9K in 2022.

"In line with Pertamina's Gas Subholding, KJG is ready to become a company that serves natural gas needs as transitional energy through various services that are currently and have been pursued to all customers, stakeholders and the community," concluded Edwin.