Dumai refinery to be closed temporarily<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
State oil and gas firm PT Pertamina plans to shut down its Dumai
\nrefinery in Riau in early July for maintenance, a top official
\nwas quoted by Dow Jones news agency as saying.<\/p>\n
The refinery, which has a capacity to process 120,000 barrels
\nper day, is expected to be shut for 21 days, the company's
\ndirector for processing Suroso Atmomartoyo said on Wednesday.<\/p>\n
After the turnaround in Dumai, Pertamina also plans to shut
\ndown Cilacap refinery -- which according to 2002 data, has a
\nproduction capacity of 348,000 barrels a day -- for 20 days in
\nSeptember, said Suroso.<\/p>\n
Pertamina anticipates bigger imports will be necessary due to
\nthe temporary closure of the refineries, according to the
\ncompany's director of marketing and trading Ari Soemarno.<\/p>\n
\"We have programmed (the maintenance) for a long time,\" Ari
\ntold The Jakarta Post. \"There won't be any problem with securing
\noil imports.\"<\/p>\n
Pertamina had earlier intended to close the Dumai refinery for
\nmaintenance in June.<\/p>\n
The state firm has nine refineries, which have a total
\ncapacity of about 1 million barrels a day.<\/p>\n
As the domestic demand, which rises on average by 6 percent a
\nyear, is higher than the refineries' total capacity, Pertamina
\nalso imports some 400,000 barrels of oil per day.<\/p>\n
Ari said that fund of Rp 1.2 trillion that the government
\nwould give each month would be sufficient, despite higher imports
\nduring the turnaround periods.<\/p>\n
\"We are also asking the government to pay some Rp 10.9
\ntrillion in subsidies from 2003 and 2004, which have not been
\ndisbursed yet,\" said Ari.<\/p>\n
According to Ari, the government owes Pertamina about Rp 1
\ntrillion from 2003 and Rp 9.9 trillion from 2004. The funds are
\nparts of the fuel subsidy, which will be disbursed after a
\ncomplete audit is finished.<\/p>\n
Minister of Energy and Mineral Resources Purnomo Yusgiantoro
\nsaid on Tuesday that the finance ministry and Pertamina would
\nconclude the calculation within one week.<\/p>\n
Pertamina needs some $1.1 billion a month to cover fuel
\nimports.<\/p>\n
The government announced earlier this week announced that it
\nwould provide only Rp 1.2 trillion a month, which is roughly the
\ndifference between what the government owes Pertamina in fuel
\nsubsidy and what the firm owes the state in, among others, crude
\nand liquefied natural gas sales.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/dumai-refinery-to-be-closed-temporarily-1447893297",
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