President to dedicate oil refinery in W. Java
President to dedicate oil refinery in W. Java
INDRAMAYU, West Java (JP): President Soeharto is scheduled on
Monday to inaugurate the country's first export-oriented oil
refinery (Exor I) in Balongan with a processing capacity of
125,000 barrels per day (bpd).
"The Exor I plant, whose construction was completed last
August, is designed to process 100,000 bpd of heavy crude oil
from the Duri field and 25,000 bpd of light crude oil from the
Minas field," the plant's project manager, Soeharto, told
reporters here yesterday.
Duri oil, with a high level of metal and residue content, and
Minas oil are produced by PT Caltex Pacific Indonesia near
Pekanbaru in Riau.
The Exor I project was constructed by the JGC Corporation of
Japan at a cost of approximately US$2 billion, with financial
assistance coming from Java Petroleum Investment Co. Ltd. -- a
consortium grouping Mitsui Corp., Marubeni Corp., Sumitomo, C.
Itoh & Co. (now Itochu) and 20 Japanese banks.
The project's construction started on Sept. 1, 1990.
The project manager said that under an agreement with its
lenders, the state oil company Pertamina, the owner of the
refinery, will partly repay the loans using revenues from the
operation of the refinery.
In spite of its export orientation, the refinery will supply
its products for local distribution. The refinery's operation,
however, will enable Pertamina to increase exports of oil
products from its other refineries in the country.
Soeharto, the project manager, also said that most of the
plant's products are expected to meet the demands of western
Java, including Jakarta, which consume some 35 percent of the
country's total fuel consumption.
He said that the total fuel consumption in the country reached
47.3 million kiloliters per year. "And we predict that the fuel
demand will grow by some six percent per annum," he said.
He said that the Exor I plant has a capacity to produce
136,000 tons of liquefied petroleum gas (LPG) per year and
186,000 tons of propylene a year, 54,500 bpd of aviation gas,
10,437 bpd of kerosene, 24,500 bpd of automotive diesel oil
(ADO), 14,890 bpd of industrial diesel oil (IDO) and 7,200 bpd of
decant fuel as well as 27 metric tons of sulfur per day.
Refineries
Pertamina currently operates five refineries -- one in
Pangkalan Brandan with a processing capacity of 5,000 bpd, in
Dumai of Riau with 170,000 bpd, in Musi of South Sumatra with
132,500 bpd, in Cilacap of Central Java with 300,000 bpd, in
Balikpapan of East Kalimantan with 253,600 bpd and in Cepu of
East Java with 3,800 bpd.
In addition to the Exor I plant, Pertamina also plans to build
three other export-oriented refineries, including Exor II with a
processing capacity of 120,000 bpd in Irian Jaya, Exor III with
120,000 bpd in Tanjung Uban of East Kalimantan and Exor IV with
140,000 in Dumai.
The Investment Coordinating Board last year also approved
commitments for the construction of four other export-oriented
oil refineries by private sector companies with a combined
investment of some US$7.2 billion.(fhp)