Pertamina using Honeywell technology to boost production of clean fuels
Thursday, February 2 2017 - 02:56 AM WIB
Petromindo
Honeywell (HON) said that Indonesia?s state-owned oil and gas firm PT Pertamina will use Honeywell UOP technology to produce high-octane gasoline blending components and jet fuel at its Balikpapan refinery in East Kalimantan Province.
Honeywell said in a statement an agreement with Pertamina includes licensing and engineering for a CCR Platforming unit with a capacity of 33,000 barrels per day to produce cleaner-burning high-octane motor fuels and a Unionfining hydrotreating unit with a capacity of 47,000 barrels per day to produce kerosene jet fuel.
"The CCR Platforming unit at Balikpapan will be the eighth unit that Honeywell UOP has licensed to Pertamina, and the backbone of Pertamina's supply of high-octane gasoline," said Mike Millard, vice president and general manager, Process Technology and Equipment at Honeywell UOP in the statement. "This technology provides the highest possible yield of these fuels, while also producing 1.2 million tons a year of the petrochemicals paraxylene and benzene."
According to government sources, Indonesia's gross domestic product is growing by 5.2 percent per year, while its population of 260 million people is growing by 1.2 percent annually. As a result, gasoline demand in Indonesia currently is rising by 4 to 5 percent per year, straining its ability to meet domestic demand for refined products.
The technologies provided by Honeywell UOP will help Indonesia meet that growing domestic demand while upgrading to Euro IV clean fuel specifications and phasing out production of 88 RONC gasoline.
As part of the same project, Honeywell said Pertamina awarded Honeywell UOP with a contract to expand capacity of its existing Unicracking units at Balikpapan to 60,000 barrels per day. These units provide eastern Indonesia's domestic supply high-quality diesel fuel.
Having worked with Pertamina since 1974, Honeywell UOP also is currently installing a modular CCR Platforming unit at the company's Cilacap refinery that will allow Cilacap to produce 91,000 barrels per day of 92 RON-C gasoline.
Editing by Reiner Simanjuntak