Balongan not to expand its refinery plant soon

Balongan fuel refinery plant in West Java, owned by state-owned Pertamina's Balongan Production Unit VI, will not expand its production capacity in near future as its current production capacity is enough to supply the increasing fuel demands in Jakarta and West Java.

Pertamina Balongan spokesman Suwandi said that he had not heard any plan from Pertamina Balongan nor from the government about the rumored expansion plan.

"Up until now, there is no plan for the expansion of Balongan fuel refinery plant," he said on Monday. "In short, I have not heard any government plan about that (expansion)."

He noted that the existing refinery was still enough to supply the increasing demand. Besides, building a new or expanded refinery plant would need a huge investment.

Nevertheless, he did not rule out future expansion for Balongan refinery plant. He noted that Balongan had around 200 hectares of land, and this still could accommodate further expansion. He acknowledged that building new refinery plant or expansion project in Balongan would be more economical for Pertamina and the government, considering that it was located only 210 kilometers from Jakarta. (*)