PTBA, PT PGN Announce New Project
(MENAFN) PT Bukit Asam (PTBA), a major coal producer in Indonesia, and PT Perusahaan Gas Negara (PT PGN), a government-linked gas company, have announced a collaboration to launch a coal gasification project aimed at generating clean energy, as revealed by an official on Monday.
This innovative project will convert coal into synthetic natural gas, contributing to the reduction of carbon emissions.
Rosa Permata Sari, director of strategy and business development at PT PGN, highlighted that the initiative will leverage PTBA’s low-grade coal reserves in Tanjung Enim, South Sumatra, which have not yet been fully exploited.
"The reserves are located near PT PGN's pipeline network, making infrastructure development more efficient," she shared in a press release. She further noted that this project is in line with the government's goal to reinforce downstream industries.
As for distribution, Rosa explained that the synthetic natural gas produced will be directed toward industries in western Java, where there is a notable supply gap.
In 2025, the two companies will concentrate on conducting feasibility studies to evaluate the potential for building synthetic natural gas production plants, laying down pipelines, and creating a sustainable business model.
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