Pertamina signs engineering & project services with Aramco for RU Cilacap

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Kilang+Minyak (3)

JAKARTA (TheInsiderStories) – State energy company PT Pertamina on Monday signs an engineering and contract management services with giant Middle East oil and gas company Saudi Aramco for the Upgrade Project of Refinery Unit Cilacap.

Executive Director International Operations of Saudi Aramco Said A. Al-Hadrami said the signing agreement will pave way for a long-term partnership with Pertamina.

“Saudi Aramco is delighted to be partner with Pertamina. Together with Pertamina, we will be able to deliver oil and petrochemical products to the country. We have a long-term view and the agreement has a mutual benefits for both parties,” he said.



He said Saudi Aramco will first focus on this project and later on move on to jointly other projects.

Meanwhile, Director for Processing of Pertamina Rachmad Herdadi said the engineering design is expected to be completed in 8-9 months that will raise the production capacity of RU Cilacap to 370,000 barrels of oil per day in 2022. The refinery will also produce derivative products, including 600,000 tons of petrochemical products from 300,000 tons per annum at present.

The construction is scheduled to start in October 2018. The fuel output from the refinery will meet the Euro 4 and Euro 5 standards.

Pertamina CEO Dwi Soetjipto said the signing of engineering service is a follow up of the heads of agreement (HoA) signed by both parties in 2015. The project is estimated to require investment of US$5 billion.



Pertamina is also in the process to upgrade Balongan and Dumai refineries which require combined investment of around US$15 billion. The projects do not only increase the capacity of those oil refineries but also making the production process to be more efficient.  (*)

 

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Source: The Insiderstories
Pertamina signs engineering & project services with Aramco for RU Cilacap

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