Mines and Energy Minister of Indonesia Purnomo Yusgiantoro said the country has studies underway for the construction of floating LNG (FLNG) plants. "The LNG market is changing and competition is tough now and in the future. We have to anticipate for short-term contracts or even spot LNG for the market," Purnomo Yusgiantoro said.
"Therefore, we are now studying building floating LNG plants. Because if we do not plan ahead, Indonesia will be left behind by other producers," Yusgiantoro added. Rachmat Sudibyo, head of the Indonesian oil watchdog Balak, said Unocal has talked unofficially with Indonesia about the FLNG plant. "The idea is the plant can be moved to another place if the reserve is finished. The cost is expected to be cheaper than moving the natural gas from deepwater to an onshore plant," Sudibyo said.
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