JAKARTA (Indonesia Today) – The government of Indonesia plans to build refinery, funded by state budget, in South Sumatera with investment cost of around Rp90 trillion.
Evita H. Legowo, Director General for Oil and gas at energy ministry, said the refinery will be build land owned by state oil and gas company PT Pertamina.
He said the government has 2 options for the location of refinery; in Plaju, Sungai Gerong and Katimpa Bengkok.
The construction of refinery is targeted to start in 2016 and to complete in 2019.
20 companies had since 1998 proposed to get licenses for building refinery in Indonesia but they have yet to realize the project until now.
Pertamina also plans to build refinery, in partnership with foreign companies such as Kuwait and Saudi Aramco, but they have yet to stage into agreement. (ferdi@theindonesiatoday.com)