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PGN Makes Bold Move at IPA Convex 2026, Set to Tackle CO2 Transport Study for Blue Ammonia Development

| | Source: KOMPAS Translated from Indonesian | Energy
PGN Makes Bold Move at IPA Convex 2026, Set to Tackle CO2 Transport Study for Blue Ammonia Development
Image: KOMPAS

PT Perusahaan Gas Negara (Persero) Tbk or PGN has strengthened its commitment to supporting the energy transition and achieving net zero emissions (NZE). The commitment was formalised through a Joint Study Agreement (JSA) related to a study of carbon capture and storage (CCS) technology at IPA Convex 2026 on Thursday, 21 May 2026. The strategic collaboration was carried out with PT Pertamina (Persero), PT Pertamina Hulu Energi (PHE), and PT Pupuk Indonesia (Persero) to support the development of low-carbon ammonia (blue ammonia) in Indonesia. Hery Murahmanta, Director of Infrastructure and Technology at PGN, said that in the CCS collaboration PGN will act as the provider of CO2 transport services. “This step is a key pillar in PGN’s step-out strategy to expand its business portfolio into the clean energy and decarbonisation sector,” he said in a written statement received by Kompas.com on Friday, 22 May 2026. The main focus of the synergy is to build an efficient and sustainable low-carbon ammonia supply chain, from carbon emission capture, CO2 transport, to injecting CO2 into safe underground geological formations. One of the strategies planned is to utilise the right of way (ROW) of existing natural gas pipeline routes to develop the CO2 transport network. Hery noted that the collaboration is a tangible manifestation of PGN’s role as Pertamina’s gas sub-holding in integrating gas infrastructure with future technologies to reduce carbon emissions. “Utilising the ROW of existing pipeline routes will accelerate the integration of the CCS ecosystem efficiently while reaffirming our role as the main CO2 transporter in the future,” he explained. Through the partnership, the parties will conduct a comprehensive study to examine the technical, legal, economic, and commercial aspects of developing the CCS ecosystem. The initial focus of the study will cover West Java (Jawa Barat) and East Java (Jawa Timur), areas with industrial clusters that have high energy needs. Additionally, the parties will also assess potential other regions deemed strategic from the perspective of infrastructure and project economics. The synergy between the Pertamina Group and Pupuk Indonesia is expected to pioneer CCS development in Indonesia. The CCS development will combine PHE’s upstream expertise, PGN’s infrastructure strengths, and Pupuk Indonesia’s fertiliser and ammonia industry capabilities.

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