01-04-2016

JGC Indonesian subsidiary wins gas processing plant contract

JGC Corporation announced today that its group company, JGC Indonesia, jointly with PT. ENCONA INTI INDUSTRI, has been awarded the EPC contract for the construction of a gas processing plant in Aceh Province, Sumatra planned by PT MEDCO E&P MALAKA.

The lump-sum turnkey contract has a value of approximately 27 billion Japanese Yen and calls for Project completion in the 1st quarter, 2018.
The project contract calls for the construction of a plant to process 90 mmscfd natural gas for the production of sales gas, condensate, and solid sulfur from natural gas produced by Block A developed by MEDCO and its partners in Aceh, Indonesia, which is rich in natural resources such as oil and gas.  Planning is for the produced sales gas to be used principally by a gas-fired power plant of Indonesia’s state-owned electric power company  in Aceh and by a state-owned fertilizer company.

In the 1970s, JGC was the first company of its type to set up an EPC-capable subsidiary in Indonesia when it established the former PT. PERTAFENIKKI Engineering (renamed JGC Indonesia in 2007).  Through to the present, the subsidiary has been steadily accumulating project experience while responding to local needs.  This is the largest-scale project in the history of JGC Indonesia, and JGC understands that the contract has been awarded to JGC Indonesia on the basis of its experience in Indonesia and the high evaluation accorded to its project execution capabilities, in addtion to its cost-competitive proposal.

JGC is now promoting the strengthening and expansion of its overseas EPC subsidiaries, and intends to further enhance JGC Indonesia’s project execution capabilities through the successful execution of this very important project.