NATURAL GAS POTENTIAL IN
Limitation of the problem
INDONESIA
M. Hasan Syukur *)
ABSTRACT
Natural gas is a natural resource with
the third largest reserves in the world after
coal and petroleum. Natural gas was initially
not consumed as an energy source because
of difficulties in transportation so that it is
always burned when produced together with
petroleum. The use of natural gas in Indonesia
is not only for transportation and households,
but now for industry. Products from natural
gas used are LPG (Liquid Petroleum Gas),
CNG (Compressed Natural Gas), LNG (Liquid
Natural Gas) and Coal Bed Methane (CBM)
which are non-conventional sources that are
being developed in Indonesia.
In 2015 Indonesia had 4 (four) LNG
processing plants, with an installed capacity of
39 MTPA. The LNG Plant is located in Arun
(6.8 MTPA), Bontang East Kalimantan (22.6
MTPA), Tangguh in West Papua (7.6 MTPA)
and Donggi Senoro Central Sulawesi (2
MTPA).
A. Background
Natural gas is a natural resource with
the third largest reserves in the world after
coal and petroleum. Natural gas was initially
not consumed as an energy source because
of difficulties in transportation so that it is
always burned when produced together with
petroleum.
The use of natural gas in Indonesia is
not only for transportation and households,
but now for industry.
Natural gas in Indonesia has a
dominant role after the role of oil as the main
energy source is reduced. Especially with the
commitment given by the government to the
Clean Developement Mechanism in the Kyoto
Protocol, natural gas began to be chosen
because of lower pollution levels.
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B.
This paper is limited by the study of
natural gas potential, a glimpse of the natural
gas processing industry, natural gas pipelines
in Indonesia, Floating Storage regasification
Unit and the transport of natural gas in the
form of CNG.
C. Writing Objectives
For reader to know :
1. The potential of natural gas in
Indonesia
2. Overview of thegas processing
industry natural
3. Natural gas pipelines in Indonesia,
4. Floating Storage regasification Unit
5. Transportation of natural gas in the
form of CNG
D. Natural Gas potential in Indonesia
In addition to petroleum has a large
amount of natural gas reserves, which is 170
TSCF and annual production reaches 2.87
TSCF, with this composition Indonesia has
reserve to production (R / P) reaching 59
years. Natural gas also has a stable price
because it is far from political content, unlike
petroleum.
Products from natural gas used are
LPG (Liquid Petroleum Gas), CNG
(Compressed Natural Gas), LNG (Liquid
Natural Gas) and Coal Bed Methane (CBM)
which are non-conventional sources that are
currently developed in Indonesia.
Compressed Natural Gas is a natural
gas that is compressed without going through
a refining process and stored in a metal tube.
CNG is relatively cheaper because without
going through a refining process and is more
environmentally friendly.
LPG and LNG are natural gas
produced by distillation and separation from
petroleum. Butane gas and propane will
become LPG and methane will become LNG.
LPG is known as a fuel for cooking purposes.
 Figure 1 Oil and Gas Resources Reserves, (Source: ESDM)

ProduksiGas
8,000.00

7,000.00

6,000.00

5,000.00

4,000.00 LNG

3,000.00 Pipeline

2,000.00

1,000.00

-
2010 2011 2012 2013 2014

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Figure 2 Indonesian Gas Production Chart 2010 - 2014 (source: SKK Migas)
Figure 3 Graph Gas Indonesia were exported in 2010-2014 (source: SKK Migas)

KonsumsiGas Domestik
Domestic Pipeline Domestic LNG
3,500.00
3,000.00
2,500.00
2,000.00
1,500.00
1,000.00
500.00
-
2010 2011 2012 2013 2014

Figure 4 Graph of Domestic Gas Consumption 2010 - 2014 (source: SKK Migas)

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E. Natural Gas Processing Industry in Indonesia

Figure 5 Location of Natural Gas Processing Industry

In 2015 Indonesia had 4 (four) LNG
processing plants, with an installed capacity of
39 MTPA. The LNG Plant is located in Arun
(6.8 MTPA), Bontang East Kalimantan (22.6
MTPA), Tangguh in West Papua (7.6 MTPA)
and Donggi Senoro Central Sulawesi (2
MTPA). For the Arun LNG Refinery due to the
supply of natural gas, from Exxon Mobil has
experienced a significant decrease, then in
2014,
the function as the LNG sending terminal was
replaced by the LNG receiving terminal. For
the Tangguh LNG plant, one more LNG plant
will be built with a capacity of 3.8 MTPA.
Meanwhile the government is building a
Floating LNG Plant with a capacity of 4.5
million tons per year to utilize natural gas from
the Abadi Masela Block field.

Table of Natural Gas used as LPG products

NO NAME OF BUSINESS AGENCY LOCATION CAPACITY

Langkat, NORTH
1 PT. MARUTA BUMI PRIMA SUMATRA 47 Ton LPG/DAY
Prabumulih, SOUTH
2 PT. TITIS SAMPURNA SUMATRA 200 Ton LPG/DAY

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 Lembak, SOUTH
3 PT. SURYA ESA PERKASA SUMATRA 125 Ton LPG/DAY

4 PT. BINA BANGUN WIBAWA MUKTI Bekasi, WEST JAVA 150 Ton LPG/DAY

5 PT. SUMBER DAYA KELOLA Tugu Barat, WEST JAVA 18 Ton LPG/DAY

6 PT. MEDIA KARYA SENTOSA Gresik, EAST JAVA 160 Ton LPG/DAY

7 PT. YUDHISTIRA HAKA PERKASA Cilamaya, WEST JAVA 120 Ton LPG/DAY

8 PT. WAHANA INSANNUGRAHA Cemara, WEST JAVA 102 Ton LPG/DAY

9 PT. TUBAN LPG INDONESIA Tuban, EAST JAVA 480 Ton LPG/DAY
Centre Pondok, WEST
10 PT. PT. YUDHISTIRA ENERGY JAVA 160 Ton LPG/DAY

11 PT. GASUMA FEDERAL INDONESIA Tuban, EAST JAVA 70 Ton/ DAY

12 PT. MEDIA KARYA SENTOSA (PHASE II) Gresik, EAST JAVA 230 Ton LPG/ DAY
Sungai Gerong, SOUTH
13 PT. PERTASAMTAN GAS SUMATRA 710 Ton LPG/ DAY

14 PT. PERTAMINA Mundu, CIREBON 100 Ton LPG/ DAY

15 PT. MEDCO Kaji, SOUTH SUMATRA 200 Ton LPG/DAY

LPG Pola Hulu

NO NAME OF BUSINESS AGENCY LOCATION CAPACITY

1 PT. PERTAMINA Bontang 2740 Ton LPG/ DAY

2 CHEVRON Tanjung Santan 247 Ton LPG/ DAY

3 PETROCHINA Arar 38 Ton LPG/ DAY

4 PETROCHINA Jabung 1315 Ton LPG/ DAY

5 CONOCO Belanak 1151 Ton LPG/ DAY

6 HESS Ujung Pangkah 247 Ton LPG/ DAY

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 LNG Pola Hilir

NO NAME OF BUSINESS AGENCY LOCATION CAPACITY

5.478.261 Ton LNG/

1 PT. Donggi Senoro LNG CENTRE SULAWESI DAY

LNG Pola Hulu

NO NAME OF BUSINESS AGENCY LOCATION CAPACITY

35197,83 Ton LNG/

1 PT. Arun NAD DAY

59.274,78 Ton LNG/

2 PT. Badak Bontang DAY

20.617,39 Ton LNG/

3 BP Tangguh Tangguh DAY

F. Natural Gas Pipeline Network

The following are development projects:
In Indonesia there are many natural
gas transmission and distribution pipelines
built by PERTAMINA, KKKS, PGN and
Private. However, the construction of a
natural gas pipeline in Indonesia is currently
a peace meal, meaning that the natural gas
pipeline network will be built after the
discovery of new natural gas reserves and
the presence of earth gas consumers. The
government has planned to build an
integrated natural gas network that will
connect multi producers with multi
consumers. This plan is contained in
Ministerial Regulation Number 0255 K / 11 /
MEM / 2010, concerning the master plan of
the National Natural Gas Transmission and
Distribution Transmission Network whose
construction is carried out on a scheduled
basis.
• Revitalisasi LNG Arun (Pertamina,
FINISHED IN Q4 2014);
• Pipa Arun-Belawan (Pertamina,
FINISHED IN Q2 2014);
• FSRU Lampung (PGN, FINISHED
IN 2014);
• FSRU West Java (PT. Nusantara
Regas
• Pipa Cirebon-Bekasi (Pertagas,
FINISHED IN Q4 2014);
• Cirebon-Semarang pipe (PT
Rekayasa Industri with Pertamina,
FINISHED IN Q3 2014);
• Pipa Gresik-Semarang (Pertagas,
FINISHED IN Q3 2014);
• FSRU Centre Java (Pertamina, Q4
2014);

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Figure 6 Infrastructure of National Natural Gas Transmission Pipes

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 Up to now the natural gas
transmission network that has been
installed in Indonesia is 3,202 km on the
island of Sumatra, 1,804 km on the island
of Java, and 295 km on the island of
Kalimantan, while the installed natural gas
distribution network is 751 km on the island
of Sumatra and 2,520 km on Java Island.
In addition to reducing dependence
on fuel oil, using the state budget has
carried out the construction of a city gas
network for households in several cities
close to natural gas sources and has a
natural gas transmission network..
G. Floating Storage Regasification Unit
(FSRU)
FSRU is a floating unit for LNG that is
used not only as a technical alternative to the
existing LNG terminal, but from another
perspective, this unit can provide other
alternative solutions in terms of economics.
With the proven reliability of the onshore LNG
Terminal in the past few decades and the
rapid development of floating technology such
as the FPSO, coupled with the proven
reliability of LNG storage technology in the
LNG Carrier Hull, technology and design
concepts have been developed to make a
reliable, safe floating LNG terminal. and
economical.
The FSRU is basically designed as a
floating facility and the procedure design is not
much different from onshore terminals, so that
many of the FPSO design concepts can be
adopted for this, but there are some cases of
equipment on LNG onshore terminals that
cannot be applied to the FSRU. because of
environmental differences.
So far, in Indonesia, LNG terminals
have never been built that can be used as
LNG regasification, so that the results of the
LNG plant which have been built from 1970
are entirely exported to Japan, Taiwan, China,
USA. But with the increasing domestic gas
demand, then this is considered necessary to
build an LNG terminal in Indonesia.
With the LNG terminal, the required
LNG supply can be obtained from various
sources both domestic and foreign. Indonesia
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as an archipelago has designed to develop
the Floating Storage Regasification Unit to
overcome gas scarcity in several regions in
Indonesia.
One FSRU that has been operating is
PT FSRU. Nusantara Regasification, this
FSRU has a capacity of 3 million tons per year
and has obtained LNG supply from the
Bontang Refinery of 1.5 million tons per year
starting in 2012, for a period of 10 years.
There is also a FSRU with a capacity of 3
million tons per year offshore Lampung,
offshore Central Java and offshore East Java
Examples of PGN's FSRU in the Sunda
Straits of Lampung.
Figure 7 FSRU Located Lampung
• FSRU Dimension
⇒ LOA 294 m.
⇒ Weight 46 m
⇒ Depth 26 m
• Weigth of FSRU in sea water :
81.900 tons
• Storage capacity : 170.000 m3
• Regasification capacity : 240
MMSCFD
• Pipeline sea network : ± 21 Km
• Pipeline specification 24", API
5L (SAWL) X-65 (PSL 2)
Location of FSRU is close to gas
reception anddividing station Labuan
Maringgaior coordinates 50 26 '30 "S and
1050 56' 30" E.
Lampung FSRU is integrated with
SSWJ pipeline facility that connects gas
sources in Sumatra with Indonesia's biggest
potential customer in West Java
H. Transportation of Natural Gas in the
form of Compressed Natural Gas
(CNG)

Compressed Natural Gas (CNG

abbreviated) is an alternative fuel other than
gasoline and diesel, CNG is made by
compression of methane gas (CH4 ) which is
pressured to 250 bar pressure, then stored
and distributed with a skid tube tank truck.
Indonesia knows CNG as with BBG,
this fuel is considered cleaner with fuel oil.
CNG is now a prima donna with its use
as fuel on buses, trucks and even fuel for Figure 8 Alternative shipping / transportation
power plants (electricity generation) of natural gas

Figure 9 CNG cylinder tube transported by truck and ship

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 REFERENCES
1. ESDM, POTENSI DAN PELUANG DAN INVESTASI SEKTOR ENERGI DAN SUMBER
DAYA MINERAL, Kementerian ESDM, 2014
2. Dharmasaputra, Metta dkk, WAJAH BARU INSDUSTRI MIGAS INDONESIA, Kata Data
Indonesia, 2014
3. Tim Kementerian ESDM, PETA JALAN KEBIJAKAN GAS BUMI NASIONAL 2014-2030,
Kementerian ESDM, Jakarta, 2014
4. Widjajono Partowidagdo, MIGAS DAN ENERGI DI INDONESIA, Permasalahan dan
Analisis Kebijakan, Development Studies Foundation, Bandung, 2009

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