JAKARTA (Yosefardi) – State gas distributor PT Perusahaan Gas Negara (PGN) Tbk (PGAS) cuts its capital expenditure (capex) to US$150 million for this year, from initial plan US$300 million.

The cut in capex is made as some projects can be done this year, resceduled to next year. In first half of this year, PGN had spent capex of US$100 million.

The rest of capex will be used to fund the establishment mobile refuelling unit (MRU), located in Lapangan Banteng (Central Jakarta) and Ragunan (South Jakarta), at cost of Rp10 billion each.

PGN also plans to build three gas stations in North and West Jakarta, at cost of Rp15 billion each.

PGN will also build infrastructure network for gas distribution of Muara Karang-Muara Bekasi (Ringline 1) with investment cost of around US$87.9 million, equivalent Rp1.01 trillion.