Pertamina seeks $3.7b loan for Balikpapan refinery project
Monday, February 27 2017 - 01:55 AM WIB
Petromindo
State-owned oil and gas firm PT Pertamina is seeking external funds worth up to US$3.7 billion to help finance the expansion of its Balikpapan oil refinery in East Kalimantan Province.
Pertamina Finance Director Arief Budiman was quoted by Bisnis Indonesia as saying Monday that the Balikpapan refinery expansion project is estimated to cost around $5.3 billion, 70 percent of which, or about $.37 billion to be financed via external funds such as project financing as the company will carry out the project on its own without partner.
?We?re still looking (for the external funds). Part (of the funding requirement) will be our own equity, another part probably from project financing,? Arief said.
Pertamina plans to expand the capacity of the Balikpapan refinery from the current 260,000 bpd to 300,000 bpd, and to produce additional output of 80,000 bpd of gasoline, 70,000 bpd of diesel, and 30,000 bpd of jet fuel. The project has been targeted to complete in 2019. (*)