President inaugurates Balikpapan refinery upgrade under RDMP project

By Romel S. Gurky

Indonesian President Prabowo Subianto on Monday (January 12) inaugurated the Refinery Development Master Plan (RDMP) Balikpapan project in East Kalimantan, accompanied by Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia.

The RDMP Balikpapan project is part of the government’s energy self-sufficiency program aimed at reducing Indonesia’s dependence on imports of fuel oil  and liquefied petroleum gas (LPG). The project has an investment value of approximately USD 7.4 billion, equivalent to around Rp123 trillion.

Read also: Balikpapan RDMP inauguration delayed

With the completion of the RDMP, the production capacity of the Balikpapan refinery increases from 260,000 barrels per day (bpd) to 360,000 bpd. The upgraded refinery produces fuel products that meet Euro V standards. The project also raises the refinery’s complexity index from 3.7 to 8 and increases the percentage of high-value products to 91.8% from 75.3%.

Pertamina President Director Simon Aloysius Mantiri said the project integrates upstream and downstream infrastructure. Key components include a 78-kilometer Senipah crude oil pipeline supplying feedstock to the refinery, a Residual Fluid Catalytic Cracking (RFCC) unit to process residue into higher-value products, a 125,000-kiloliter fuel terminal at Tanjung Batu to serve eastern Indonesia, and fuel storage tanks at Lawe-Lawe with a capacity of 2 million barrels.

The Balikpapan refinery is operated by PT Pertamina (Persero).

Editing by Alexander Ginting