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BP awards KBR FEED for Tangguh LNG expansion project (Indonesia)

BP has awarded two consortia the onshore Front End Engineering and Design (FEED) for the US$12bn Tangguh LNG Expansion Project in Indonesia, that will consist in developing a third liquefaction train of 3.8 Mt/year to the existing two-train facility, raising the plant's capacity to 11.4 Mt/year. The consortia are, on the one hand, Tripatra Engineers and Constructors, Tripatra Engineering, Chiyoda, Saipem, and Suluh Ardhi Engineering, and on the other hand Rekayasa Industri, JGC and KBR Indonesia. The onshore FEED is expected to be completed within 12 months, with scope covering the new LNG Train, LNG jetty and associated infrastructure. The plant is expected in 2019 at the earliest.

Moreover, Tangguh LNG (37.16% BP, 16.3% MI Berau, 13.9% CNOOC, 12.23% Nippon Oil, 10% KG, 7.35% Indonesia Natural Gas Resources and 3.06% Talisman) has signed a sales and purchase agreement with Indonesia’s state owned electricity company PLN to supply up to 1.5 Mt/year of LNG from the third train (40%) to PLN from 2015 to 2033.

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