Indonesia's Tangguh LNG plant progresses; GE Oil & Gas to supply compressors

By OGJ editors

HOUSTON, Nov. 11 -- GE Oil & Gas, Florence, Italy, a unit of Atlanta-based GE Power Systems, has been awarded a $90 million contract to supply gas turbine-driven compressors for the BP PLC-operated Tangguh project's LNG liquefaction plant in Indonesia (See General Interest, OGJ Online, Nov. 11, 2003).

The equipment will be used in the first compressor train for the new two-train LNG facility to be constructed in Bintuni Bay Regency, Irian Jaya (Papua) province. A KBR-led consortium is performing engineering, procurement, and construction for the two-train plant.

BP PLC operates the Tangguh LNG project on behalf of partners MI Berau BV (held by Mitsubishi Corp. and Inpex Corp.), CNOOC Ltd., Nippon Oil Exploration Berau, BG International Ltd., KG Cos. (held by Japan National Oil Corp., Kanematsu Corp., and Overseas Petroleum Corp.) and LNG Japan Corp. (held by Nissho Iwai Corp. and Sumitomo Corp.).

GE Oil & Gas will supply the two main refrigerant turbo compressor strings for the compressor train, manufacturing the strings at its facilities in Greenville, SC, and Florence and Massa Carrara, Italy. Shipments are scheduled for delivery in 2005 from Italy. In addition to supplying the equipment, GE Oil & Gas will provide engineering and procurement services, fabrication, packaging, and full-load testing for it.

When completed with a second compressor train, the Tangguh LNG facility will have a gas liquefaction capacity of at least 7 million tonnes/year of LNG. Tangguh partners expect to begin LNG production in 2007 to meet supply commitments. Natural gas from offshore fields containing 14.4 tcf of proven natural gas reserves will provide feed for the plant (OGJ Online, May 27, 2003).

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