JAKARTA (Yosefardi) – State oil and gas company PT Pertamina and state plantation firm PT Perkebunan Nusantara (PTPN) IV agree to develop an integrated biofuel business.

In first phase, the buofuel project will have production capacity of 10,000 barrels per day. PTPN will benefit from this business cooperation with Pertamina, then it plans to set up new entity engaged on upstream-downstream of plantation business.

Both parties will conduct a feasibility study for this project, targeted to complete in April this year. Currently PTPN IV produces 2,500 tons of crude palm oil (CPO) per day.