Indonesia's PT PGN to develop coalbed methane gas

Jakarta (Antara News/Asia Pulse) - State-owned gas firm PT Perusahaan Gas Negara (PT PGN) plans to develop coalbed methane gas as an alternative energy source to replace fuel oil, a spokesman said.

"We will develop coalbed methane gas in Musi Rawas in particular because it has great potential," PT PGN president director WMP Simandjuntak said after signing a memorandum of understanding on exploitation and utilization of CBM with Ridwan Mukti, head of the Musi Rawas district administrtaion, here.

Indonesia has over 453 trillion cubic feet (TCF) of methane gas reserves in
various areas, including in South Sumatra, which has 183 TCF.

The company will use a pipeline network scheduled to become operational next November 2006 and March 2007.

Business in Asia Today - Sept 18, 2006
published by Asia Pulse
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