Honeywell’s UOP to Help Modernize Indonesian Refineries

UOP LLC, a Honeywell company, announced Oct. 7 it will help PT Pertamina (Persero), the national oil and natural gas company of Indonesia, develop a master plan to modernize the state-owned company's refineries.

Honeywell's UOP will develop a recommendation called a "bankable feasibility study," for the modernization of Pertamina's five largest refineries, an effort partially funded by a $1.07 million grant from the U.S. Trade and Development Agency. The project was announced at a signing ceremony at Pertamina's headquarters in Jakarta.

The company is evaluating plans for a centralized terminal for crude imports as well as upgrading the company's five main refineries to allow them to process heavier, lower-quality crude oil, said Karen Agustiawan, president director of PT Pertamina.

The refineries to be studied are Balikpapan, East Kalimantan; Cilacap, Central Java; Dumai, Riau; Plaju, South Sumatra, and Balongan, West Java. The company also operates a sixth smaller refinery in West Papau with a capacity of 10,000 barrels per day. Pertamina's total refining assets have a capacity of nearly 1 million barrels per day.

The company's last new refinery was built in 1994 in West Java. The company recently completed a feasibility study for a seventh refinery, which the company hopes to complete and open in 2018. Pertamina is Indonesia's largest state-owned enterprise, active in both upstream and downstream sectors of the oil and gas industry.

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