MANILA, Philippines - Philippine-based Atlantic, Gulf and Pacific Company (AG&P) has bagged the contract to build and operate a liquefied natural gas (LNG) receiving terminal in eastern Indonesia.
The company will participate in the landmark project through the development, construction and operation of the LNG receiving terminal.
The terminal is owned by Indonesia-based PT Energi Nusantara Merah Putih (ENMP) through subsidiaries PT Pasifik Agra Energic, which will provide natural gas for the 600-megawatt (MW) combined-cycle power plant in Bantaeng, South Sulawesi.
On the other hand, the power plant owned by PT. Power Merah Putih will provide electricity supply to Bantaeng Industrial Park (KIBA).
The LNG terminal and power plant have an estimated total investment of $980 million.
“The integration of this project will allow the KIBA supporting industries to accomplish the construction of the LNG receiving terminal immediately. This is a crucial part of the 600MW power plant itself, which will start operations by mid-2021,” ENMP president director Westana H. Wiraatmadja said.
AG&P will focus on the design, engineering, construction and operation of the LNG receiving terminals at KIBA. The modular components of the terminal will be constructed at its state-of-the-art manufacturing facilities in Batangas.
“AG&P is thrilled to support this nationally important project in Bantaeng. We look forward in short order to LNG being available for the power plant and to industry and consumers throughout Southern Sulawesi and nearby regions. AG&P will work hard to achieve this goal,” AG&P chief finance officer and commercial head Abhilesh Gupta said.
The project is in the engineering phase and is expected to reach financial close within one year, followed immediately by the construction of the LNG terminal and power plant.