Agrinas Palma to Reactivate Biodiesel Plant Next Year

State-owned plantation company PT Agrinas Palma Nusantara (Persero) will reactivate its biodiesel production facility in Rengat, Riau, with a capacity of 600,000 tonnes. President Director Mohammad Abdul Ghani stated that the plant is expected to commence operations by the end of 2027.

“We will reactivate the biodiesel production facility in Rengat, Riau, with a capacity of 600,000 tonnes,” he said at the DPR RI building in Jakarta on Monday (6/7/2026).

Ghani explained that this move is part of the company’s support for the national food and energy self-sufficiency programme. He noted that the reactivation process will cost less than Rp300 billion.

“The progress is that the feasibility study has been completed. We just need to tender it soon. It’s only repairs because it’s already damaged,” he said.

In addition, Ghani revealed that Agrinas Palma plans to build a new bioethanol processing plant based on cassava. The development of these green energy and food sectors is expected to boost the company’s financial performance, as its profit in the 2025 fiscal year was only Rp2.7 billion.