Indonesia sets eyes on natural gas with $32 billion investment

Indonesia will have to spend $32.43 billion in the development of the country's national gas pipeline project, which will connect gas fields and gas stations across the country.

The Energy and Mineral Resources Ministry has revealed the amount needed to complete the project. Out of the total quantity $13 billion will be spent on the construction of gas stations. Other areas of investment include $8 billion for liquefaction and re-gasification projects, $8.5 billion for pipeline development, and $2.5 billion to establish city gas networks.

“We need investors to help us develop gas infrastructure, such as the pipeline network and mini-LNG plant. We need the mini-plant because our resources are stranded gas,” said oil and gas director general IGN Wiratmaja Puja.

Indonesia looks to make natural gas one of the country´s main energy sources. A gas pipeline network of 27,273 km will be built by 2050, doubling their current infrastructure. They also plan to have six large plants and 10-mini plants up and running by the end of 2025, reported the Jakarta Post.

Natural gas will also be heavily introced in the vehicle market, especially in the heavy-duty vehicle industry. Indonesia has already proven their interest by hosting events such as the Natural Gas Vehicles & Infrastructure Indonesia Forum and Exhibition, which took place in Jakarta, March 2015.