Tangguh liquefied natural gas expansion project, Indonesia

23rd September 2016 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Tangguh liquefied natural gas expansion project, Indonesia

Name of the Project
Tangguh liquefied natural gas (LNG) expansion project.

Location
Papua Barat province of Indonesia.

Client
Tangguh Production Sharing Contract Partners. The project is operated by BP Berau on behalf of the other production-sharing contract partners as contractor to SKK Migas. BP Berau and its affiliates in Indonesia hold a 37.16% interest in the project.

Other partners include MI Berau (16.30%), CNOOC Muturi (13.90%), Nippon Oil Exploration (Berau) (12.23%), KG Berau Petroleum and KG Wiriagar Petroleum (10.00%), Indonesia Natural Gas Resources Muturi Inc (7.35%), and Talisman Wiriagar Overseas (3.06%).

Project Description
The expansion project will add a third LNG process train (Train 3) and 3.8-million tons a year of production capacity to the existing facility, bringing total plant capacity to 11.4-million tons a year. The project also includes two offshore platforms, 13 new production wells, an expanded LNG loading facility and supporting infrastructure.

The project will play an important role in supporting Indonesia’s growing energy demand.

Jobs to be Created
The project is expected to create 10 000 jobs spread over the course of the project.

Value
Not stated.

Duration
Operation is expected in 2020.

Latest Developments
CSTS, a consortium led by Indonesian engineering procurement and construction (EPC) contractor Tripatra, with Chiyoda Corporation, Saipem and Suluh Ardhi Engineering, has been awarded a contract by BP Berau for the onshore EPC work for the Tangguh expansion project.

BP, on behalf of Tangguh Production Sharing Contract Partners, announced in July that the final investment decision (FID) had been approved for the development of the Tangguh project.

This FID decision follows the Indonesian government’s approval of the Plan of Development II in late 2012.

Key Contracts and Suppliers
CSTS (EPC).

On Budget and on Time?
Not stated.

Contact Details for Project Information
BP Indonesia, tel +62 21 7854 8743 or email wigra.hanafiah@bp.com.
BP press office London, tel +44 207 496 4076 or email bppress@bp.com.