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Indonesia: South-east Asian country set on diverting gas supplies from exports to domestic users.

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Pertamina signs four gas deals

Indonesia’s state-owned Pertamina EP has signed four contracts worth $265 million to supply gas to domestic users, a local media report said.

The first deal calls on Pertamina EP and Medco E&P to supply up to 1.3 billion cubic feet of gas to re-pumping stations at Pengabuan and Ibu in Sumatra through November 2013.

Two other agreements were signed with Pelangi Cakrawala Losarang and Tossa Shakti.

The Pelangi Cakrawala Losarang deal pledges up to 6.2 billion cubic feet gas supply for industrial users at Losarang in West Java from through December 2018.

A separate deal with Tossa Shakti involves the supply of up to 1.4 billion cubic feet gas to meet the demands of glass manufacturers in Central Java through December 2011.

The fourth and final deal runs for 15 years from January 2013 and involves the supply of up to 62.3 billion cubic feet of gas for a natural gas liquefaction plant in South Sumatra.

Pertamina EP is the second largest oil and gas producer in Indonesia. In 2009, Pertamina EP produced 127,100 barrels per day, according to an Antara report.

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