Jakarta, CNBC Indonesia – PT Pertamina (Persero) predicts that the use of fuel oil (BBM) in the energy transition era will decline in the next few years. Therefore, the company plans to increase the production capacity of petrochemical products in all refinery units.
Pertamina President Director Nicke Widyawati said that his party would improve the quality of products from several refineries. For example, the Plaju, Dumai and Cilacap refineries will be converted into green fuel refineries, aka green refineries.
“And petrochemical We will increase this capacity. Later demand “We predict that fuel will decrease, so that petrochemical products will double,” said Nicke at the Hearing Meeting (RDP) with Commission VII DPR RI, quoted Thursday (23/11/2023).
On the other hand, Nicke does not deny that Indonesia still has quite large oil and natural gas (oil and gas) potential to be developed. Therefore, apart from boosting the development of green refineries, his party will also develop gas downstreaming.
“Indonesia, with its quite large oil and gas reserves, has the potential to increase the downstreaming of gas. So, derivative products from gas, we have to explore derivatives from oil and gas. That’s in general terms,” he added.
As is known, Pertamina is currently building several refineries, including a new oil refinery in Tuban, East Java, together with a company from Russia, Rosneft, and also several refinery expansion projects or Refinery Development Master Plan (RDMP).
If the project is completed, Pertamina’s crude oil processing capacity will increase to 1.4 million barrels per day (bpd) from the current 1 million bpd.
The company completed two mega oil refinery projects in 2022, namely the Balongan RDMP in Indramayu, West Java and the Cilacap Phase 1 Green Refinery in Central Java.
The Balongan RDMP project has resulted in an increase in crude oil processing capacity of 25 thousand barrels per day (bpd) to 150 thousand bpd from the previous 125 thousand bpd.
Meanwhile, Green Refinery Cilacap Phase 1 has produced 3,000 barrels per day (bpd) of Hydrotreated Vegetable Oil (HVO) or a type of diesel. Then, this green refinery project has also produced Sustainable Aviation Fuel (SAF) or aviation fuel with a mixture of 2.4% palm oil with a capacity of 9,000 bpd. This SAF product has been flight tested on the CN 235 airline operated by PT Dirgantara Indonesia.
Apart from these two mega projects, currently Pertamina is also building 4 RDMPs and 1 new oil refinery, namely RDMP Balikpapan, Lawe-Lawe Balikpapan, RDMP Plaju, Dumai, and Cilacap and a new refinery in Tuban, East Java.
Several refinery projects that are still under construction:
1. RDMP Balikpapan
Processing capacity is from 260 thousand bpd, targeted to increase to 360 thousand bpd.
Product quality standards are Euro V from the current Euro II.
Currently still in the EPC process.
2. Lawe-Lawe Balikpapan Terminal
Crude oil pulling capacity 2×1 million barrels, SPM +SPL
EPC process.
3. RDMP Plaju, Dumai, Cilacap
Increasing refinery competitiveness.
Still in the engineering or technical engineering stage.
4. Grass Root Refinery (GRR) Tuban
Target capacity to process 300 thousand bpd of crude oil.
New integrated petrochemical refinery.
Still in the stage of widening roads for infrastructure and refinery land, and proposing the Tuban Special Economic Zone (KEK).
Pertamina’s collaboration project with Rosneft, a company from Russia.
[Gambas:Video CNBC]
Next Article
Next Year, RI Gets Ready to Have the Biggest Fuel Refinery!
(wia)