PGN Disburses 338 Million US Dollars Throughout 2025 To Build Infrastructure

PT Perusahaan Gas Negara Tbk (PGN) is determined to boost the development of natural gas infrastructure by disbursing US$338 million for capital expenditure (capex).

Commercial Director of PT PGN Ratih Esti Prihatini said that the 338 million dollars was budgeted for strategic infrastructure development such as the construction of the Tegal-Cilacap pipeline and the Cikampek-Plumpang fuel pipe.

"2025 dollars spent in infrastructure of 338 million dollars to focus on downstream infrastructure pipelines," he said at the Energy Corner quoted on Tuesday, July 15.

Nevertheless, Esti ensured that infrastructure development was not carried out alone but also to build partnerships.

He gave an example, the cooperation that PGN has carried out with PLN Energi Primary Indonesia (EPI) for gas infrastructure projects in North Papua and also assignments from the government.

Moreover, he said, the central and eastern regions of Indonesia are archipelago areas so they need infrastructure to supply gas needs.

"The east and middle regions are due to the islands so the best at this time is to build beyond pipelines," he said.

Previously, PGN President Director Arief Setiawan Handoko detailed that 67 percent of the capex would be allocated to expand natural gas networks, including 200,000 new connections in Sumatra and Java, which have the potential to save government LPG subsidies of up to hundreds of billions of rupiah.

"In addition to reducing LPG imports, jargas provides more efficient, clean, and sustainable energy solutions for the community," explained Arief.

Meanwhile, 33 percent of the capex are allocated for development in the upstream oil and gas segment. PGN will continue exploration in Pangkah, Ketapang, and Fasken WK Muara Bakau contracts.