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[SITUATION] · [QUIET] · [BUSINESS]

3 clusters · 4 sources · 29 days · First seen · Last updated

Indonesia gas supply and distribution expansion

Overview

PT Perusahaan Gas Negara (PGN) is working to expand its piped natural gas network in Lumajang, East Java, targeting commercial sectors such as hotels, restaurants, and micro-small-medium enterprises (UMKM) in addition to households. This expansion follows high public interest in non-subsidized gas due to restrictions on 3-kg LPG cylinders.

Concurrently, PT PLN Energi Gas, a subsidiary of PT PLN Energi Primer Indonesia, is managing Indonesia’s broader gas supply chain through pipelines and Liquefied Natural Gas (LNG) logistics. Projections indicate a growing demand for gas in power generation, with requirements expected to rise by approximately 4.5% annually through 2034.

To support these distribution goals, PGN has signed a Gas Sale and Purchase Agreement (PJBG) with Mont D’Or Oil Tungkal Limited to secure 5.45 BBTUD of gas from the Tungkal Working Area in Jambi. This supply, intended for the period between 2026 and 2034, will be integrated into existing infrastructure on Sumatra Island to strengthen domestic energy security for industrial, commercial, small business, and household customers.

Financially, PGN reported a net profit attributable to owners of the parent entity of US$ 90.45 million for the first quarter of 2026, a 46% year-on-year increase, despite a 3.83% year-on-year decrease in revenue to US$ 929.56 million.

Entities

Pertamina · Mochamad Arif · PT Perusahaan Gas Negara Tbk · SKK Migas · Lumajang Regency

Timeline

  1. 11 days ago

    [BUSINESS] 2 sources
    PGN secures 5.45 BBTUD gas supply from Tungkal Working Area

    PGN has signed an agreement with Mont D’Or Oil Tungkal Limited to secure 5.45 BBTUD of gas from Jambi for 2026–2034 to bolster Indonesia's domestic energy security.

  2. 18 days ago

    [BUSINESS] 2 sources
    PT PLN Energi Gas manages Indonesia's gas supply chain

    PT PLN Energi Gas is managing Indonesia's energy supply chain, with gas demand for power plants projected to grow 4.5% annually through 2034, necessitating increased LNG logistics.

  3. about 1 month ago

    [BUSINESS] 3 sources
    PGN expands gas pipeline use to hotels and UMKM in Lumajang, Indonesia

    PGN plans to extend its piped gas network in Lumajang, Indonesia, to hotels, restaurants, cafés and UMKM, citing high public interest and LPG restrictions, while offering mobile and WhatsApp meter services.

Sources

katadata.co.id · mediabanten.com · mediaindonesia.com · tambang.co.id

This summary has been updated 1 time: see revision history