A South Korean supplier of city gas identified as Samtan Co. plans to buy a 34 percent in equity share of E-Pertagas, a liquefied petroleum gas (LPG) producer in Indonesia, a company official said.
E-Pertagas is a joint venture between South Korean LPG provider E1 Corp and Pertagas, a subsidiary of Pertamina, Indonesia’s state-owned oil and gas company.
Samtan and Pertamina are scheduled to spend US$190 million to build an LPG plant with an annual production capacity of 240,000 tons by 2012 in southern Sumatra, an island in western Indonesia.
Samtan operates the Pasir mine with an annual production capacity of 30 million tons of coal, Indonesia’s third-largest coal mine. The mine is located in eastern Kalimantan, Indonesia.
