Risco Energy, AG&P to collaborate in developing LNG terminals in Indonesia

Risco Energy, an energy investment company based in Jakarta, Indonesia, is forming a joint venture with Atlantic, Gulf and Pacific Company (AG&P), an infrastructure solutions provider based in the Philippines, to develop small and medium liquefied natural gas (LNG) terminals across Indonesia.

The terminals will consist of storage and LNG regasification facilities that will also be supported by an integrated transportation system so that the joint venture can maintain an energy supply chain across the archipelago.

AG&P and Risco will design, manufacture, finance, charter/lease, operate and maintain compact and mid-scale LNG terminals and the supply chains that will be created from them. The joint venture will cater to Indonesia’s distributed energy requirements across storage, transport, regasification, power and full terminal solutions for Indonesia’s coasts, rivers and roads.

“Risco and AG&P will utilize all of our resources to distribute LNG to almost every corner of Indonesia in a bid to optimize our services for the end-user clients. Such a comprehensive supply chain is expected to help increase people’s access to electricity, especially for the ones in remote areas,” Risco chairman Hari Karyuliarto said.

Indonesia is currently pursuing an ambitious project to construct power plants to generate an additional 35,000 megawatts (MW) of electricity for the country and some of the plants are to be fueled by gas. The hope is to increase the national electrification ratio to 97% by 2019, as well as to meet the continuously increasing demand for electricity from household and industrial customers.

AG&P and Risco together will serve the needs of the power, bunkering, mining, transportation and industrial sectors.