Pertamina, consortium sign EPC accord on Balongan unleaded fuel project

State oil and gas firm Pertamina on Friday signed an engineering, procurement and construction (EPC) agreement with a consortium of two companies to modify Balongan refinery in West Java in order to produce unleaded gasoline.

Pertamina president director Baihaki Hakim, PT Rekayasa Industri president director Sri Widodo and president director of Japan?s Toyo Engineering, Toshi Hirose, signed the accord in Jakarta.

The project will cost around US$153 million.

The amount will be used to build five facilities namely plain facility, utility facility, off-site facility, support facility and site preparation building and civil works.

Project construction will start late this month, and is expected to be completed in early 2005.

With more and more consumers using unleaded gasoline, from Balongan and other refineries, which will also be modified, the use of leaded gasoline will be reduced, thus minimizing air pollution in Indonesia. (godang)