Pertamina in talks with Petronas to revamp Dumai, Balikpapan refineries
Wednesday, August 23 2006 - 04:08 AM WIB
State oil and gas company PT.Pertamina said on Wednesday it had held talks with Malaysian state oil firm Petronas to cooperate in revamping Dumai and Balikpapan refineries.
?Pertamina had signed MoU with Petronas,? CEO Ari Soemarno told reporters.
He, however, declined to give further detail, saying only that construction is expected to begin in late 2007 and the revamping would increase capacity of both refineries by 20 percent.
Dumai refinery in Riau province has capacity to refine 120,000 BPD of crude while Balikpapan has capacity of 260,000 BPD.
Ari said Pertamina is currently trying to optimize capacity of its existing refineries as plan to construct new ones might likely be delayed due to soaring construction costs.
Pertamina operates all existing refineries in Indonesia with capacity of around 1 million barrels per day. (godang)