LNG from Tangguh will start exporting in May

Jakarta: The BP-led Tangguh LNG project in the Indonesian province of Papua came on stream at the end of January, BP’s head of country confirmed.

The Indonesian government is planning to begin making Tangguh liquefied natural gas (LNG) shipments in May but it is not yet sure whether they should go to China or South Korea, a senior energy official said. “The government has not yet decided the destination of the first shipment of LNG from the Tangguh field,” director general for oil and gas at the Ministry of Energy and Mineral Resources, Evita Legowo, said last week. Legowo said initially the first LNG shipment from Tangguh was to be done in February but due to technical problems it was postponed until May. In the meantime, the head of the Upstream Oil and Gas Regulating Body (BP Migas), R Priyono, said the channeling of gas to the LNG plants in Tangguh would begin in April 2009. Gas production in 2009 was projected at an average 430.85 million metric standard cubic feet per day (mmscfd). Besides gas, Tangguh will also begin producing about 1,000 barrels of oil per day.

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