Pertamina offers cheaper product<\/p>\n
Leony Aurora, The Jakarta Post, Jakarta<\/p>\n
Amid skyrocketing global oil prices and kerosene scarcities
\naround the country, state oil and gas company PT Pertamina is
\nintroducing a new fuel product created from oil wells' unused
\noutput.<\/p>\n
The product, called gasified petroleum condensate (GPC), is
\nexpected to provide an alternative to kerosene for home and
\nindustrial use, especially for people living close to oil fields,
\nsaid Pertamina president director Widya Purnama at the
\nintroduction of the product on Tuesday.<\/p>\n
"GPC will be cheaper than LPG," Widya said, referring to the
\nwidely used liquefied petroleum gas.<\/p>\n
GPC is derived from unstable condensate -- between 10 percent
\nand 20 percent of liquid hydrocarbon gas produced as a byproduct
\nof oil wells -- that is usually left to evaporate without being
\nutilized.<\/p>\n
According to Pertamina, with a global crude price assumption
\nof US$44 per barrel, the base price for GPC will be Rp 3,000
\n(about 32 US cents) per kilogram.<\/p>\n
One kilogram of GPC can keep a specially modified stove
\nburning continuously for up to eight hours. In tests conducted by
\nPertamina, the GPC was stored in three-kilogram canisters.<\/p>\n
"We have not determined the sale price of GPC just yet," said
\nprocessing director Suroso Atmomartoyo. "We will first acquaint
\npeople with the product."<\/p>\n
Pertamina raised the price of LPG late last year by more than
\n40 percent to Rp 4,250 per kilogram from Rp 3,000 a kilogram.<\/p>\n
The government also increased fuel prices by an average of 29
\npercent on March 1.<\/p>\n
Although the price of kerosene for households -- usually poor
\nhouseholds -- was kept at Rp 700 a liter, there have been reports
\nthat the price of kerosene has doubled in parts of the country
\nwhere shortages have been experienced.<\/p>\n
Pertamina's research and development facility in South Sumatra
\nhas been developing GPC for the last two years. The new fuel is
\nexpected to reduce the dependency on kerosene among people living
\nnear oil fields in remote areas.<\/p>\n
In the first phase, Pertamina plans to produce some 1,370 tons
\nof GPC per month using 300 barrels per day of condensate produced
\nin South Sumatra oil fields.<\/p>\n
"We hope to start selling GPC this year," said Suroso.<\/p>\n
"After South Sumatra, we will utilize the condensate in the
\nWest Java upstream operation area," he said.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/pertamina-offers-cheaper-product-1447893297",
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