31 May 2013

Construction of subsea gas pipeline system in Batam


Construction of 16" along 13.5 km subsea gas pipeline system from ORF (Onshore Recieving Facility) Pemping Island power plant gate to Tanjung Uncang, Batam Island officially started. The project was undertaken as a Consortium of PLN Batam (B'right) incooperation with PT Universal Batam Energy . The gas pipeline construction Agreements was signed in Jakarta and PT. KPM Oil & Gas is the main contractor.

Director of  PLN Batam (B'right) Dadan Kurniadipura said, the construction of a gas pipeline from Pemping to Batam is the continuation of the execution  of Gas Purchase Agreement (GSA) between PLN Batam (B'right), Batam Universal Energy (the buyer), and PT Premier Oil Natuna Sea BV (seller ).

"This gas pipeline is very strategic because it will be utilized to transport natural gas from Natuna to domestic market (domestic market obligation / DMO)," he said in a press statement. For information, The Natuna gas source (Gajah Baru) has been producing and exporting gas to Singapore.

Currently, PLN Batam (B'right) is constructing gas power plants at Tanjung Uncang area in Batam with total capacity of 190 megawatts (MW). Fuel gas for both power plants will be supplied using the DMO gas from Natuna ( Gajah Baru).

Construction of gas pipeline from the Batam area to Pemping Island is scheduled to be completed by mid-2014, thereby channeling DMO gas can be implemented to meet the needs of the power plant in Batam, " said Dadan.

With this additional gas supply, electrical system in Batam is expected to be more reliable. It is one of the government's commitment to support the economic and social stability in Batam. ( Translated from Harian Umum Jurnal Nasional, 31st May 2013 )