Soeharto opens world-class lube oil recycling plant<\/p>\n
JAKARTA (JP): President Soeharto inaugurated yesterday what is
\nbilled as the world's most modern and efficient lubricating oil
\nrecycling plant in Bekasi, West Java, which uses the Pennzoil
\ntechnology process from the United States.<\/p>\n
The US$84-million plant, which is owned by PT Wiraswasta
\nGemilang Indonesia (WGI), a private company, consists of a
\nrerefining unit with an annual capacity of 40,000 tons of base
\noil and a blending unit with a 60,000-ton capacity.<\/p>\n
\"This plant will not only reduce environmental damage caused
\nby careless disposal of used engine oil but will also greatly
\nbenefit consumers by denting the sales of fraudulent engine oil
\nmade from used lube oil,\" the President pointed out at the
\ninauguration ceremony.<\/p>\n
State Minister of Environment Sarwono Kusumaatmadja noted at
\nthe same ceremony that if the WGI plant could operate at full
\ncapacity it could process a quarter of the 360,000 kiloliters of
\nused engine oil accumulated annually by users.<\/p>\n
\"Before this plant came on stream, used lube oil was either
\ndisposed of directly into nature or recycled with obsolete
\ntechnology which does not fulfill the requirements for
\nenvironmental preservation and for technical standards,\" Sarwono
\nsaid.<\/p>\n
He added that the recycling plant would be able to save $100
\nmillion worth of crude oil which is imported from the Middle East
\nto produce base oil -- the feedstock for the blending of engine
\noil.<\/p>\n
\"We still have to import crude oil from the Middle East
\nbecause our own crude is not suitable for making lubricating
\noil,\" Sarwono added.<\/p>\n
WGI's president Ibrahim Risyad said the plant used high vacuum
\nand hydro-finishing technology which does not affect the
\nenvironment.<\/p>\n
WGI bought the Mohawk-CEP hydrotreating technology from
\nChemical Engineering Partner of the U.S.<\/p>\n
\"We produce 72 kinds of lube oil which meet the quality
\nstandards of the American Petroleum Institute,\" Ibrahim pointed
\nout.<\/p>\n
He also claimed that the WGI recycling plant is much more
\nmodern and efficient than its counterparts in the U.S. and Canada
\ndue to the high technology it applies to its rerefining and
\nblending operations.<\/p>\n
He said the factory requires 66,000 tons of used lube oil a
\nyear which will be bought from 4,000 individual and company
\ncollectors in Java, Sumatra, Bali and Kalimantan.<\/p>\n
The plant, Ibrahim added, could increase its production to
\nmore than 100,000 tons a year under three working shifts.<\/p>\n
The new facility was partly funded with loans from the Asian
\nDevelopment Bank, Commonwealth Development Corp., Asian Finance
\nand Investment Corp., Banque Nationale de Paris and Lippo Bank.
\n(vin)<\/p>\n
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