The Real Crazy Rich! Conglomerate Sukanto Tanoto Disburses IDR 7.15 Trillion To Work On LNG Project In Canada

Conglomerate Sukanto Tanoto. (Photo: Doc. Forbes)

JAKARTA - Conglomerate Sukanto Tanoto plans to disburse US$500 million or around IDR 7.15 trillion to work on the LNG project in Canada. The project is being carried out by Woodfibre, a company backed by Sukanto's Pacific Energy Corp.

In a Bloomberg report, quoted on Thursday, March 24, it is stated that Woodfibre has not issued an official statement regarding this project. However, President Woodfibre Christine Kennedy has disclosed this plan to government officials Squamish, British Columbia, Canada. The total investment for this project reaches 1.6 billion US dollars.

"The construction of this project will begin this year and is targeted for completion in 2027," said Kennedy.

Woodfibre intends to follow Shell's lead, which is working on a US$40 billion LNG project in Kitimat, British Columbia, which is 60 percent complete. LNG production at this facility will begin in 2025.

Woodfibre already has a permit to export LNG per year. These exports will raise Woodfibre's revenue. Woodfibre's LNG export market target is Europe, which is looking for alternative LNG supplies outside of Russia. European countries are indeed planning to reduce energy dependence on Russia, after the country attacked Ukraine.

Sukanto Tanoto is the founder and President Commissioner of the RGE Group. Currently, the RGE business group is engaged in pulp and paper (April and Asia Symbol), palm oil (Asian Agri and Apical), rayon fiber (Sateri and Asia Pacific Rayon), specialty cellulose (Bracell), and energy resource development ( Pacific Oil& Gas), with operations in Indonesia, China, Brazil, Spain, and marketing offices in many countries around the world.

The total assets of the RGE Group are currently around 20 billion US dollars. Sukanto Tanoto's net worth, based on Forbes data, reaches US$2.1 billion or around IDR 30 trillion.