Indonesia won't delay LNG supplies to China, SKorea: ministerIndonesia Indonesia (ĭn'dənē`zhə), officially Republic of Indonesia, republic (2005 est. pop. 241,974,000), c.735,000 sq mi (1,903,650 sq km), SE Asia, in the Malay Archipelago. will continue supplies of liquefied natural gas liquefied natural gas: see under natural gas.
Liquefied natural gas (LNG)
A product of natural gas which consists primarily of methane. Its properties are those of liquid methane, slightly modified by minor constituents. (LNG LNG (liquefied natural gas): see under natural gas. ) to China and South Korea from its Tangguh plant despite ongoing negotiations over prices, the energy minister said Tuesday.
"The gas delivery will be on schedule even though negotiations are still ongoing," Purnomo Yusgiantoro told reporters.
Indonesia announced earlier this the year it was seeking to increase the price of LNG from its plant in easternmost Papua province in order to cash in on high oil prices.
Jakarta secured a 25-year contract with China in 2002 to supply Fujian province with 2.6 million tons of LNG per year from Tangguh. The contract is worth 8.5 billion dollars and comes into force in 2009, when operations are expected to begin.
It also has a deal to sell 600,000 to 800,000 tons a year to South Korea's K-Power at 3.50 dollars per million British thermal units British thermal unit, abbr. Btu, unit for measuring heat quantity in the customary system of English units of measurement, equal to the amount of heat required to raise the temperature of one pound of water at its maximum density [which occurs at a temperature of 39. (mmbtu) for 20 years, and 550,000 tons a year to Posco at 3.36 dollars per mmbtu for an equal number of years.
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