Indonesian state energy company Pertamina has cancelled a tender for a floating storage and regasification unit (FSRU) to supply LNG to a power plant serving a refinery near Cilacap on the island of Java.
The company is understood to have put the tender on hold in February but has now confirmed it is pulling the project.
LNG consultants in Southeast Asia say the fall in the price of oil has been a key factor in the decision, adding that gas is currently more expensive than diesel.
