Meet Minister Airlangga, CEO of LG International Discusses Petrochemical Gas Plant Utilization
By : Ridwan And Aldi Firhand. A | Wednesday, September 06 2017 - 17:08 IWST
Meet Minister Airlangga, CEO of LG International Discusses Petrochemical Gas Plant Utilization (Foto Ridwan)
INDUSTRY.co.id - Jakarta - Minister of Industry, Airlangga Hartarto received a visit from LG International CEO and Chairman of PT Duta Firza, Firlie H. Ganinduto at the Office of the Ministry of Industry, Jakarta (5/9/2017).
"This meeting discusses investment opportunities in the field of gas utilization for existing Petrochemical Plant in Bintuni Bay, West Papua," said Airlangga.
As is known, South Korean company, LG International with PT Duta Firza has agreed to establish petrochemical industry in Indonesia with an investment value reached USD 1.3 billion.
Previously, Airlangga suggested to LG to take advantage of gas use in Bintuni Bay, West Papua and Masela Block, Maluku.
"Their project will require natural gas to reach 90 Million Standard Cubic Feet per Day (MMSCFD) with an expectation of US $ 1 per Million Metric British Thermal Unit (MMbtu)." Currently, LG is still doing feasibility study in Bintuni, "he said.
The Ministry of Industry noted that the potential for the development of petrochemical industry in Bintuni is because there are two gas reserves operated by two companies, BP Tangguh of 23.8 trillion standard cubic feet (TSCF) and Genting Oil Kasuri Pte Ltd 1.7 TSCF.
This area is potentially developed for petrochemical plants that produce natural gas commodities in two phases. First, 257 MMSCFD supplied from BP Tangguh and Genting Oil Kasuri Pte, Ltd. with a target of operating in 2021 to produce methanol, ethylene, propylene, polyethylene, and polypropylene.
"Next, the second phase of 90 MMSCFD in 2026 from BP Tangguh for the ammonia plant," he concluded.
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