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Bakrie will continue its Kalimantan gas pipeline project

29 January 2019 06:26

JAKARTA. Entering 2019, PT Bakrie & Brothers Tbk (BNBR) will continue its plan to develop a gas pipeline project in Kalimantan.

Managing Director of BNBR, Bobby Gafus S. Umar, said that BNBR would build gas pipelines in East and South Kalimantan.

The project is BNBR's obligation to the second phase of the Kalimantan-Java (Kalija) project. Meanwhile, the Trans Kalimantan project which stretches from East Kalimantan to South Kalimantan is still awaiting BPH Migas' decision.

"The Trans Kalimantan gas pipeline plan is the domain of BPH Migas. We may later involve ourselves as participant participation. Our obligation is Kalija, which at this stage will concentrate only on the East Kalimantan and South Kalimantan lines," Bobby said to KONTAN on Monday (28/1).

Bobby said that currently, BNBR is still finalizing its 2019 budget, so that it cannot yet be certain when the pipeline project in Kalimantan will begin to be built. Likewise with the investment range for the project.

In addition to deciding the budget for gas pipeline projects in East Kalimantan and South Kalimantan, BNBR must also ensure that they have customers in Kalimantan. Member of BPH Migas, Jugi Prajogio, said that currently, BNBR is working on a Gas Transportation Agreement with several prospective buyers.

"BNBR as a transporter is working on GTA with potential shipper such as Pertagas, PLN, PGN and so on. Shipper will later secure gas allocation from the government," said Jugi. (AM/AR)

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