JAKARTA (Yosefardi) – PT Pertamina EP Cepu expects the gas production project at Jambaran-Tiung Biru-Cendana field, Cepu block, East Java, to be delayed by 6 months to one year from initial scheduled 2017-2018.
Amril Thaib, president director of Pertamina Ep Cepu, said the project would be delayed due to the uncertainty of gas price and allocation.
He said the gas allocation of 85 mmscfd has been set for the plants of fertilizer PT Pupuk Kujang while another 100 mmscfd gas is not allocated yet.
Amril explained that the allocation of gas and its price are needed as the contractors could make the final investment decision.
The government, through the Ministry of Energy and Mineral Resources (ESDM), had urged state fertilizer firm PT Petrokimia Gresik to accept gas allocation from Jembaran and Tiung Biru.
Jero Wacik, Ministry of ESDM, revealed that gas allocation will be made for the benefits of industries and country. ESDM had also set gas allocation for another 3 fertilizer companies companies; PT Pupuk Sriwijaya, PT Kaltim Fertilizer, Aceh Fertilizer.