Danantara Partners with US Firm to Develop Coal Gasification Projects
Jakarta (ANTARA) - Danantara has partnered with Latitude Energy, a technology company from the United States, to develop a coal gasification project in Indonesia as part of efforts to strengthen energy independence and promote the downstream processing of national resources.
The United States Embassy in Jakarta stated on Friday that the cooperation was marked by the signing of a Memorandum of Understanding (MoU) between PT Danantara Development Management Fund and Latitude Energy in Jakarta on 8 July.
Through the partnership, the two parties will develop a coal gasification project utilising Transport Integrated Gasification (TRIG) technology, which is capable of converting coal into synthetic gas.
Sigit P. Santosa, Chief Executive Officer of PT Danantara Development Management Fund, said the partnership supports the Indonesian government’s strategy of achieving energy self-sufficiency through the utilisation of low-calorie coal.
The TRIG technology to be applied in the project is expected to open opportunities for Indonesia to produce synthetic gas domestically, thereby reducing reliance on imports whilst creating new opportunities for the development of national industry.
Joy M. Sakurai, Chargé d’Affaires ad interim at the United States Embassy in Jakarta, noted that trade and investment relations between the US and Indonesia hold enormous potential.
“Advanced American energy technology can support energy security, industrial growth and long-term economic prosperity for both countries,” she said.
Jacob Thomas, President and Chief Executive Officer of Latitude Energy Holdings Inc., said Indonesia has a major opportunity to maximise its potential as one of the world’s largest coal producers through the use of more advanced conversion technology.
To that end, Latitude Energy has offered Danantara a long-term partnership, providing the management support, technical expertise and investment needed to build a coal gasification platform that can be developed on a larger scale.
The company views Indonesia not only as its first market, but also as the starting point for the development of coal gasification projects across Southeast Asia.
“By combining Indonesia’s abundant domestic resources with Latitude’s TRIG™ technology, the world’s most advanced coal gasification technology, we are committed to bringing flagship American technology to Indonesia, developing local capacity and creating long-term value for Indonesia’s downstream industry,” said Thomas.