Indonesia may become a liquefied natural gas (LNG) importer by 2020 as aresult of delays in a number of gas field development projects,according to a senior official at the Energy and Mineral ResourcesMinistry.
Local media quoted Naryanto Wagimin, the programmedirector for the ministry’s oil and gas directorate general, as sayingthat the country is estimated to have 2.9 trillion cubic metres inproven and 1.3 trillion cubic metres in potential gas reserves, makingit the 13 th largest owner in the world and the second-biggest inAsia-Pacific after China.
However, if there was no significantimprovement to supply within the next few years, Indonesia, once theworld’s largest LNG producer, would become a net importer as of 2020, hewarned on the sidelines of the Indonesia Energy Forum.
Accordingto the Upstream Oil and Gas Regulatory Special Task Force (SKKMigas),gas production reached 192 million cubic metres last year, 52 percent ofwhich was destined for foreign markets.
Given the expected lackof supply, companies, such as oil and gas giant PT Pertamina andJakarta-listed gas distributor PT PGN, have been preparing to secure gassupplies from overseas.
Pertamina has signed an agreement withUS-based Cheniere Energy Inc., related to supplies of LNG. Meanwhile,PGN recently said that it had purchased a stake in a shale gas field inthe US.
Diverting gas deliveries from expired contracts withoverseas buyers to the domestic market will be an option to handle gasdeficit, according to Naryanto, adding that a number of gas-sellingcontracts with overseas buyers will expire within the next two years.-VNA
Local media quoted Naryanto Wagimin, the programmedirector for the ministry’s oil and gas directorate general, as sayingthat the country is estimated to have 2.9 trillion cubic metres inproven and 1.3 trillion cubic metres in potential gas reserves, makingit the 13 th largest owner in the world and the second-biggest inAsia-Pacific after China.
However, if there was no significantimprovement to supply within the next few years, Indonesia, once theworld’s largest LNG producer, would become a net importer as of 2020, hewarned on the sidelines of the Indonesia Energy Forum.
Accordingto the Upstream Oil and Gas Regulatory Special Task Force (SKKMigas),gas production reached 192 million cubic metres last year, 52 percent ofwhich was destined for foreign markets.
Given the expected lackof supply, companies, such as oil and gas giant PT Pertamina andJakarta-listed gas distributor PT PGN, have been preparing to secure gassupplies from overseas.
Pertamina has signed an agreement withUS-based Cheniere Energy Inc., related to supplies of LNG. Meanwhile,PGN recently said that it had purchased a stake in a shale gas field inthe US.
Diverting gas deliveries from expired contracts withoverseas buyers to the domestic market will be an option to handle gasdeficit, according to Naryanto, adding that a number of gas-sellingcontracts with overseas buyers will expire within the next two years.-VNA
