JAKARTA (Yosefardi) – PT Medco Ethanol Lampung, a wholly-owned subsidiary of Medco Downstream Indonesia, has suspended its ethanol plant operation due to insufficient supply of feedstock.
Medco Ethanol suspended the plant, located in Lampung province, on October 16, 2013 due to limited supply of cassavas and molasses for ethanol production.
“Having the ethanol plant closed down, the company has no more operating business unit in the downstream sector, except minority ownership in PT Puma Medco Petroleum, a high speed diesel trading and distribution unit,” said Medco Energi (MEDC), parent of Medco Downstream Indonesia.
MEDC said the ethanol plant will be reclassified as ‘non-current assets held for sale and discontinued operations.’