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Indonesia plans to allocate 46 Mt of LNG to domestic market by 2025

Indonesia plans to allocate a minimum 46 Mt of LNG over the 2013-2025 period to its planned floating storage and regasification units. West Java FSRU (developed by PGN and Pertamina) should receive 27 cargoes per year, while Arun LNG (owned and operated by Pertamina, currently under conversion into an LNG import terminal) will receive eight LNG cargoes in 2015 and 16 cargoes per year between 2016 and 2025. Pertamina's other FSRU project in Central java will also receive 8 LNG cargoes in 2015, 16 cargoes/year over 2016-2018, 22 cargoes over 2019-2022, 16 cargoes in 2023 and eight cargoes over 2024-2025. Finally, PGN's 3 Mt/year FSRU project in Lampung will receive 10 cargoes/year over 2015-2025.



This domestic supply is expected to curb Indonesia's LNG exports. Indonesia's energy demand is expected to increase 2.8-fold by 2025, with the share of gas rising from about 20% in 2010 to 30% in 2025, for the government is seeking to reduce oil dependency from 50% in 2010 ti 20% in 2025.

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