TEMPO.CO, Jakarta - PT Pertamina would announce the result of its cooperation with Russia-based oil company Rosneft in late May. To this date, Pertamina is still discussing agreements to be made in relation to the development of new refinery in Tuban, East Java.
“We are going to discuss the agreements, today. So, when all of the items in the agreements have been clarified, we will continue to [the next phase],” Pertamina president director Dwi Soetjipto said at the Mineral and Energy Resources Ministry in Jakarta on Sunday, May 15, 2016.
Dwi added that Pertamina discussed investment opportunities in the Russian upstream industry. Pertamina is targeting at least three oil blocks in Russia.
“We are interested in many blocks. But, we’re focusing on three blocks,” Dwi explained, adding that Pertamina and Rosneft were still in the process of bargaining.
Earlier in April, Pertamina conducted a partner selection to develop a new refinery in Tuban. Rosneft expressed an interest in Indonesia’s upstream oil and gas industry and in developing oil processing experts. Rosneft chairman Igor Sechin had reportedly met State-Owned Enterprises Minister Rini Soemarno and Energy and Mineral Resources Minister Sudirman Said.
Based on Pertamina’s Plan, the Tuban refinery is projected to process up to 300,000 barrels of crude oil per day. The development of the new refinery is predicted to cost US$14 billion. The selected partner will own 49 percent of the shares, since Pertamina wants a capital contribution above 51 percent.
EGI ADYATAMA
