Tiara Energy President, Sunarto Ponirin said that Tiara Energy and Flex LNG, which hold 49% and 51% shares, respectively, will also cooperate with Samsung Heavy Industries Co., Ltd., which will provide the technology for floating LNG plant.
Tiara Energy also looking to increase LNG production capacity from the block to 5.4 million tons from 4.5 million tons. Tiara Energy and Flex LNG have submitted the proposal and already held discussions INEPX and INPEX Masela. In addition, Tiara Energy and Flex LNG will construct three ships if the gas deal is finalized. Each ship would have an LNG plant with an annual capacity of 1.8 million tons.
Ponirin said that his company already has prepared the construction of floating LNG plants that originally were to be used in Nigeria; however, the plan failed as a result of political turmoil in that country.
Tiara Energy then hopes to construct the facility to process gas from Masela while the execution of Masela project by INPEX has not been fixed, he said.
Director of Tiara Energy, Halimi Ibrahim said that if the gas development could be fixed this year and if Tiara Enery-Flex LNG got gas supply security, both the companies would be ready to complete the first ship by 2012 and the two other ships by 2013.
The other two ships will follow in 2013, Hailimi said.
