Tokyo Gas acquires Indonesian LNG developer for island network
Tokyo Gas acquires Indonesian LNG developer for island network TOKYO, Oct 8 (Reuters) - Tokyo Gas 9531.T said on Thursday it had acquired all shares of PT AGP Indonesia Utama, an Indonesian LNG infrastructure developer, to build an inter-island LNG supply network using small-scale vessels across eastern Indonesia.
With the acquisition, the Japanese company will partner with Indonesian state-run PLN's fuel procurement arm and shipping company to develop offshore and onshore LNG facilities.
Here are some details:
The partners plan to build LNG infrastructure, including one floating facility, six onshore facilities and one small-scale LNG carrier, to supply power plants across six locations in Sulawesi and the Maluku Islands
The scheme aims to replace imported diesel fuel used in power generation with domestically produced Indonesian LNG, helping cut CO2 emissions, reduce fuel import dependence, and lower fuel costs
The inter-island supply model could eventually be expanded to other regions of Indonesia's archipelago
(Reporting by Chang-Ran Kim; Editing by Rashmi Aich)
((ran.kim@thomsonreuters.com))
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