Japanese Firms May Build New LNG Plant for Tangguh Project

Japan’s engineering firms  JGC Corporation and Chiyoda Corporation are expected to build LNG plant in Indonesia for British energy major BP, according to Nikkei Asian Review.

BP will construct a plant for its Tangguh LNG project in West Papua Province at a cost of $12 billion. JGC and Chiyoda belong to two separate groups seeking to do the work, Nikkei said.

JGC's team includes U.S. engineering company KBR, and Chiyoda is part of a consortium comprising Italy's Saipem and others.

The new plant is expected to boost LNG output from 3.8 million tons a year to 11.4 million tons in all.

Tangguh LNG project exports fuel to Asian countries such as Japan, China and South Korea.