AAF resumes urea and ammonia production

PT Asean Aceh Fertilizer expects to resume its urea and ammonia production today following the resumption of natural gas supply from ExxonMobil Oil Indonesia Inc (EMOI) on December 15, Bisnis Indonesia reported on Thursday.

Razali A. Jalil, the spokesman of PT AAF, said in Lhokseumawe, Aceh last week that the gas supply from ExxonMobil had reached about 55 MMSCFD, or about 90 percent of the 66 MMSCFD of gas needed by the fertilizer producer.

He said that this year?s urea and ammonia production only reached 120,000 tons and 330,000 tons, respectively, far below the initial target due to the halt of the gas supply from ExxonMobil, which was forced to close its operation for several months due to security problem in the troubled province.

AAF, with an installed production capacity of 570,000 tons of urea and 330,000 tons of ammonia, exports about 80 percent of its urea and ammonia to Vietnam, Philippines, Bangladesh, Thailand, Malaysia, and some countries in the Middle East.

Earlier fertilizer producer PT Pupuk Iskandar Muda said that the company had also received natural gas supply from ExxonMobil of about 55 MMSCFD, or about 80 percent of its total gas needs.

PIM and AAF stopped operation in September due to the halt of ExxonMobil?s gas operation. (*)