JAKARTA (TheInsiderStories) - PT Medco E&P Malaka (MedcoEnergi), unit of Indonesia oil & gas producer PT Medco Energi Internasional Tbk (MEDC) has signed of the $240 million Engineering Procurement and Construction (EPC) contract with the consortium of PT JGC Indonesia and PT Encona Inti Industri (JEC) for the development of the Block A gas project in Aceh.
The participating interest in this project is MedcoEnergi 41.67 percent, KrisEnergy 41.66 percent and Japex 16.67 percent.
Roberto Lorato, CEO of MedcoEnergi remarked in the press statement, the first gas of Block A will commence in the first quarter of 2018. Under the Gas Sales Agreement signed in January 2015 with Pertamina, MedcoEnergi will deliver 58 Billion British Thermal Units (BTU) per Day and 198 Trillion BTU over 13 years.
“This is just the first phase of our plans to develop and monetize the resources on this Block,” He said.
JEC is a consortium of PT JGC Indonesia and PT Encona Inti Industri. JGC has just completed the development of the Donggi Senoro LNG plant in Central Sulawesi, in 2015.