Advertisement
Logo Iasssf 2
Asaddwfw
Qsfwewewcsd 11zon
Whatsapp image 2025 05 13 at 12.13.37

Monday, 29 June 2026
Green Industry

Government Inaugurates Mini LNG Plant in East Java to Optimize Domestic Energy Sources

Enviro News Asia, Tuban – The government has taken another step toward energy security and self-reliance under President Prabowo Subianto’s Asta Cita agenda, with Minister of Energy and Mineral Resources Bahlil Lahadalia inaugurating PT Sumber Aneka Gas’s Mini LNG Plant in Tuban, East Java, to boost the utilization of domestic natural gas and generate added value for the national economy.

“I see this as a real achievement by a company working to meet our domestic needs. It produces LNG, LPG, condensate, and CNG. This represents a form of energy mix that reduces our LPG imports,” Bahlil said at the inauguration on Thursday (6/25).

The PT Sumber Aneka Gas (SAG) Mini LNG Plant is a multi-product gas processing facility producing LNG, CNG, LPG, condensate, and with plans for liquid CO2. Gas supply comes from the Sumber Field operated by PT Pertamina Hulu Energi Tuban East Java at up to 15 MMSCF per day through 2035. Maximum production capacity from the plant is equivalent to 55,300 tonnes per year with a tank capacity of 1,600 units, while production capacity for other products includes LPG at 9,800 tonnes per year, gas condensate at 19,600 barrels per year, and liquid CO2 at 21,000 tonnes per year.

All commodities from the plant will be absorbed by industrial, retail, and power generation sectors across Java, Bali, and Sulawesi, with production output and storage infrastructure designed to support a land transport-based LNG supply chain.

“This is very helpful for industry in terms of providing raw material certainty. Right now East Java is still fine, prices are still fine. In West Java, Banten, Bekasi, and Jakarta, there has been a correction because our gas price policy is declining and lifting there is declining. We are forced to use LNG, so prices have risen somewhat. That is what we need to find a middle way to address,” Bahlil added.

The Minister also directed the gas supplier, PT Pertamina Hulu Energi Tuban East Java, to support the project’s continuity through to the end of the contract in 2035, stressing that investors need certainty and that contractual commitments must be honored without changes.

The facility is expected to increase domestic natural gas utilization, strengthen energy supply reliability for the industrial and power generation sectors, reduce reliance on more costly and higher-emission fuels, and improve national economic competitiveness. The government reaffirmed its commitment to supporting strategic projects of this kind as part of broader efforts to strengthen national energy resilience and drive sustainable economic growth through collaboration among government, businesses, and all stakeholders.