Rentech says gas-to-liquid feasibility study with Pertamina in full swing

Denver based Rentech, Inc. announced Monday that it has begun full feasibility study work with state oil and gas firm Pertamina on a potential 15,000 barrel per day gas-to-liquids plant in Indonesia.

The project would incorporate Rentech's proprietary gas-to-liquids (GTL) technology to convert stranded gas, owned by Pertamina, into sulfur- and aromatic-free fuels, naphtha, waxes and other high value products.

Rentech had announced in December 2000 that it had entered into a partnering agreement with Pertamina to study the project. Preliminary work had already been initiated prior to the finalization of the total scope of the work by each party, which was recently agreed upon. The delay was due to the fact that Pertamina targeted a specific site that required further definition in the scope of work for both Rentech and Pertamina.

The joint study will evaluate the cost, feasibility, and potential markets for products that could be generated from a small scale GTL plant located in Indonesia, producing 15,000 barrels per day of these clean and valuable hydrocarbons.

?Should the study prove the proposed project to be viable, both parties will enter discussions for a licensing agreement to implement the Rentech Process Technology. The parties anticipate that the study will take four to six months,? said Rentech in a statement.

``Rentech is very enthused about the potential for its GTL technology in Indonesia. We believe that the study will show that applications of GTL on stranded-gas reserves of 1 to 2 trillion cubic feet make economic sense and provide an answer to monetizing many of the world's approximately 1300 natural gas fields of this size.'' Dennis L. Yakobson, president and CEO of Rentech, Inc. commented.

Rentech, Inc. is the developer and licensor of a patented and proprietary Fischer-Tropsch, gas-to-liquids process, for conversion of synthesis gas made from natural gas, industrial off-gas, or solid or liquid carbon-bearing materials into high-value fuels, products and chemicals. These products include cleaner burning, sulfur- and aromatic-free diesel fuel, naphtha, waxes and fuel for fuel cells. (alex)