PTBA, Pusri studying coal gasification project

By Adianto P. Simamora

IDX-listed coal producer PT Bukit Asam Tbk (PTBA) said that the company is still conducting a study for the planned development of coal gasification plant to produce gas as raw material for PT Pupuk Sriwidjaja Palembang (Pusri), the oldest fertilizer producer in Indonesia.

?We hope to complete the study this year,? Corporate Secretary of PTBA Adib Ubaidillah told Petromindo.com on Thursday.

He said that a recently signed Memorandum of Understanding (MoU) between PTBA and the Institute of Technology Bandung (ITB) on research and development in energy and industry would also cover the study on coal gasification prospect.

The Investment Coordinating Board (BKPM) has pledged to provide tax allowance for investors interested in developing coal gasification and coal liquefaction projects in Indonesia as part of efforts to utilize the country?s huge low rank coal reserves.

Editing by Reiner Simanjuntak