Expanding the Global Market, PGN and BOTAS Cooperation in Energy, Natural Gas, and LNG in Turkey
Bali, November 15, 2022 - PT PGN Tbk, as Pertamina's Gas Subholding, is aiming at the international natural gas market by meeting the demand for natural gas and Liquified Natural Gas (LNG) in Turkey. PGN cooperates with BOTAS, or Petroleum Pipeline Corporation, as a Turkey state-owned company engaged in petroleum transportation and natural gas trading supplying natural gas or LNG to Turkey.
PGN and BOTAS signed a Memorandum of Agreement (MOU) on Sunday (11/13/2022). The signing was carried out by the Main Director of PT PGN Tbk M. Haryo Yunianto and BOD Member of BOTAS Corporation, Kerim Taşkiran, witnessed by the Indonesian Minister of Energy and Mineral Resources, Arifin Tasrif, Main Director of PT Pertamina (Persero), Nicke Widyawati, Chair of Kadin, Arsjad Rasjid, & Chairperson B20, Shinta Widjaja Kamdani.
President Director of PGN, M. Haryo Yunianto, explained that PGN's cooperation with BOTAS is not only limited to natural gas and LNG supply. It also regards hydrogen development cooperation, LNG infrastructure, LNG Trading, underground gas storage facilities, HR development, and other business potentials.
"This collaboration will strengthen bilateral relations between Indonesia and Turkey, especially in the energy distribution diversification. Indonesia and Turkey could be essential energy markets for bilateral energy trading continuity, especially natural gas. To support cooperation, PGN and BOTAS continue to coordinate regarding infrastructure readiness such as FSRU and LNG terminals," Haryo said (13/11/2022).
According to Haryo, natural gas diversification supply routes and sources is important for the certainty of natural gas and LNG supplies. Therefore, natural gas and LNG distribution for Turkey will also come from other sources, not only from Indonesia.
Currently, the Arun LNG Hub is operating, which is managed by PT Perta Arun Gas (PAG) as a Sub holding Gas affiliate. Arun's strategic location makes it Asia's LNG trading center and Global LNG Hub destination, such as China, Australia, Angola, Egypt, and the United States.
“PAG's main business is LNG receiving terminal, regasification, and LNG Hub. The strategic location near the Malacca Strait, with the potential for nearly 100 thousand ships to sail through, makes it an important capital for PAG as a world-class LNG Hub center. The government fully supports its operation through the appointment of PAG as the only LNG Bonded Logistics Center Manager in Indonesia," Haryo explained.
"Our hope is that the collaboration with BOTAS will continue until the commercial execution stage. PGN will certainly get benefits to expand its business to the international arena further. On the other hand, Turkey can be assisted in fulfilling natural gas energy in big cities and industrial centers as consumers of natural gas in large quantities," Haryo concluded.**