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To Maintain Fertilizer Production, Petrokimia Gresik Increases Raw Material Supply from Freeport Indonesia

| Source: VIVA Translated from Indonesian | Economy
To Maintain Fertilizer Production, Petrokimia Gresik Increases Raw Material Supply from Freeport Indonesia
Image: VIVA

PT Petrokimia Gresik, a member of the PT Pupuk Indonesia (Persero) holding company, is establishing a synergy with MIND ID and PT Freeport Indonesia (PTFI) to strengthen the supply of fertiliser raw materials, ensuring production sustainability and supporting national food security.

The President Director of Petrokimia Gresik, Daconi Khotob, explained that this synergy will be realised through plans to increase the supply of sulphuric acid from PTFI’s Manyar Smelter. He noted that Petrokimia Gresik currently has an existing agreement with PTFI regarding the provision and absorption of sulphuric acid from PTFI Smelting for the 2026–2028 period.

With the commencement of operations at the PTFI Manyar Smelter, Daconi ensured that both companies will continue to work towards maturing plans to increase cooperation through this additional raw material supply. “Sulphuric acid is one of the primary raw materials for Petrokimia Gresik alongside natural gas. Therefore, the certainty and reliability of its supply are crucial to maintaining the sustainability of fertiliser production,” Daconi stated in a release on Thursday, 10 September 2026.

This effort to increase synergy also has the support of MIND ID, which will facilitate the coordination and follow-up of the cooperation between PTFI and Petrokimia Gresik. This support is part of an effort to encourage synergy between State-Owned Enterprises (BUMN), optimise the use of mineral downstreaming products, and ensure the sustainability of the national fertiliser industry.

“Additional supplies from domestic sources will further strengthen the reliability of national fertiliser production, particularly to fulfil the government’s mandate in fertiliser provision,” he added.

It is noted that sulphuric acid is used in the production chain of several Petrokimia Gresik fertiliser products, including NPK, SP-36, and ZA. Consequently, ensuring the supply of this raw material is a vital component in maintaining operational reliability and production continuity to support agricultural productivity and national food security.

Based on the discussions held during the meeting, Petrokimia Gresik and PTFI will follow up and endeavour to increase the supply of sulphuric acid from the Manyar Smelter gradually. In addition to the extra supply from the Manyar Smelter, Petrokimia Gresik and PTFI also discussed the continuity of the sulphuric acid supply from PTFI Smelting. Strengthening domestic supply sources is expected to further enhance the resilience of Petrokimia Gresik’s raw material supply chain.

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