Tokyo Gas announced plans to acquire all shares of AGPIU and participate in the development of an LNG infrastructure business in Indonesia, jointly building an inter-island transportation network with PLN Energi Primer Indonesia and SBS using small LNG vessels.
According to the announcement, TOKYO GAS CO.,LTD., together with its wholly owned subsidiary Tokyo Gas Asia, will acquire all shares of AGPI Indonesia Utama and participate in considering the development of the LNG infrastructure business being promoted by the company.
The business involves developing offshore and onshore facilities in cooperation with PT PLN Energi Primer Indonesia of the PLN Group and shipping company SBS. Small LNG carriers will call at six locations to supply Indonesian LNG to power plants owned and operated by PLN.
The objective is to reduce CO2 emissions and fuel costs by switching power-generation fuel from imported diesel to domestically produced LNG, with a design intended to increase the potential for deployment across island regions.
Strengthening energy security has been identified as a government policy priority, and the project is expected to contribute to establishing a stable and sustainable domestic energy supply system.