Printable Version

USTDA Supports Clean Energy in Indonesia

Wednesday, September 24, 2014

(USTDA)  JAKARTA, INDONESIA – Today, the U.S. Trade and Development Agency awarded a grant to PT. Ladang Nusa Gas (PT. LNG) to develop a liquefied natural gas (LNG) project in East Java, Indonesia. The grant will assist PT. LNG, a private sector firm that specializes in developing LNG projects in Indonesia, in its efforts to supply LNG from regional gas fields to industrial off takers that that are seeking a more efficient, affordable source of energy.

"The development of this LNG project builds upon USTDA's portfolio of gas sector projects in Indonesia and throughout the region – helping to enhance energy security and reduce emissions," said Ambassador Robert Blake, the U.S. Ambassador to Indonesia, who signed the grant on behalf of the Agency. "USTDA is pleased to be able to support this partnership between PT. LNG and Black & Veatch."

Black & Veatch, a leading U.S. engineering, consulting and construction company operating in Indonesia for more than 40 years, will carry out the activity. The project will develop a preliminary design of PT. LNG's terminal facilities based on Black & Veatch's patented liquefaction technology, PRICO®.

"This project supports PT. LNG's mission of supplying high-quality energy to East Java Island – improving energy security and maintaining an affordable price for consumers by optimizing the use of the rail network for transportation," said Yauche Lizar, Director at PT. LNG.

Increased use of LNG in Indonesia's energy market has the potential to reduce energy costs and reliance on imported diesel fuel, while improving efficiency and lowering emissions. This project strengthens USTDA's robust energy portfolio in Indonesia, and will serve as a key deliverable of the U.S.-Asia Pacific Comprehensive Energy Partnership (USACEP).