PGN Garap Coal to Gas in Tanjung Enim with Potential of 9.7 TCF

PGN President Director Arief K Risdianto. (Photo: ANTARA)

JAKARTA - PT Perusahaan Gas Negara (Persero) Tbk (PGN) has started working on Coalbed Methane (CBM) or coal-based gas that can be used to be used as methane gas and increase supply for PGN.

PGN President Director Arief K Risdianto said that PGN's gas, the development of CBM in Tanjung Enim has the potential to open up space for monetization of domestic unconventional gas resources that have not been optimal so far.

"This initiative can also be one of the options for diversifying domestic gas supplies for PGN to support industrial and plant needs," said Arief in a statement to the media, Monday, July 6.

Based on data from the Directorate General of Mineral and Mineral Gas of the Ministry of Energy and Mineral Resources, the potential of CBM in Tanjung Enim is estimated to reach around 9.7 TCF OGIP or Original Gas in Place, with an estimated gas potential value of around 15.4 billion US dollars.

Arief also emphasized technical and commercial readiness through the preparation of a scheme for the utilization of existing natural gas, with a projected distribution target that will gradually grow from 1 MMSCFD to 25 MMSCFD.

In addition to coal-bed methane (CBM), continued Arief, PGN is also trying to tap into the potential supply of biomethane sourced from palm oil waste and Synthetic Natural Gas (SNG). The potential supply from these three sources is very large in South Sumatra.

"In an effort to maintain the stability of supply while utilizing the natural resources available in South Sumatra, PGN is carrying out the development of injection point infrastructure. This infrastructure is a gas collection point, where gas sourced from three supplies, both from coalbed methane, from biomethane or other sources will be collected which will then be inserted into the existing transmission pipeline," explained Arief.

Integration of pipeline-based and non-pipeline infrastructure is the key to the effectiveness of this energy absorption.

With a solid track record and an extensive portfolio of natural gas infrastructure as a Subholding of Pertamina Gas, PGN is ready to play its strategic role as the main bridge between the gas supply source point and the community, while still adhering to the principles of good corporate governance (GCG).

Despite operational readiness, PGN underlined that the acceleration of this strategic project requires support from all stakeholders.

Therefore, PGN considers that support from the KSP plays an important role in bridging communication between stakeholders so that coordination can run more tactically and effectively, and in line with the roles of each party and clear follow-up at every level.

"PGN confirms its long-term commitment to continue to monitor the Government's policies. From the Muara Enim and Pagardewa areas, PGN is determined to present a clean, reliable domestic energy solution that provides a wide multiplier effect for the community and contributes to the regional economy," concluded Arief.