Indonesia’s Tangguh Expansion Project Commences LNG Shipment

We, the joint venture partners of the Tangguh LNG Project led by bp, the project operator, are pleased to announce that the new liquefaction train (Train 3) of the Tangguh Expansion Project in Papua Barat Province, Indonesia, has started commercial operation and first shipment of liquefied natural gas (LNG) produced by Train 3 has safely sailed from the Tangguh site.

The Tangguh Expansion Project’s Train 3 adds a production capacity of 3.8 million tons of LNG per annum (MTPA) to the existing Tangguh facility, which consists of two trains with a combined production capacity of 7.6 MTPA. Tangguh expansion project, which took six-and-a-half-year to complete, at peak saw over 13,500 workers mobilized through its development and construction.

The Tangguh Expansion Project will play an important role in supporting Indonesia’s growing energy demand, where up to 2.8 MTPA of LNG produced by Train 3 will be supplied to Indonesia’s state owned power generator PT. PLN based on a long term sales and purchase agreement (SPA) entered in 2014. Meanwhile, up to 1.0 MTPA of LNG will be supplied to The Kansai Electric Power., Inc. based on a SPA signed in 2013, contributing to Japanese national energy security.

The joint venture partners of the Tangguh LNG Project are also planning the next phase of development including a carbon capture utilization and storage (CCUS) project as they seek to contribute to the reduction of CO2 emissions from LNG production.

REFERENCE
The Tangguh LNG Project is located in Papua Barat Province, Indonesia. The project is operated by BP Berau Ltd on behalf of the other production sharing contract partners as contractor to SKK Migas. BP Berau Ltd and its affiliates in Indonesia hold a 40.22% interest in the project. The other Tangguh production sharing contract partners are MI Berau B.V. (16.30%), CNOOC Muturi Ltd. (13.90%), Nippon Oil Exploration (Berau), Limited. (12.23%), KG Berau Petroleum Ltd (8.56%), Indonesia Natural Gas Resources Muturi Inc. (7.35%) and KG Wiriagar Petroleum Ltd (1.44%).