Pertamina to Build Centralized Crude Terminal in East Kalimantan
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Kamis, 1 Januari 1970 07:00 WIB
TEMPO.CO, Jakarta - Rachmad Hardadi, director of processing and petrochemical megaproject at state oil company Pertamina, said that his company has planned to build a centralized crude terminal in Lawe-Lawe, East Kalimantan, to support Pertamina’s refineries in Balikpapan and Bontang.
“This [terminal] is for strategic petroleum reserves. If we use pipes, the distance [from the terminal] to Bontang is 80 or 100 kilometers,” Rachmad said in Jakarta on Tuesday, February 28, 2017.
Rachmad explained that if a pipeline project can be built for this project, the Bontang refinery project will no longer need to build a large crude terminal. In addition, the Lawe-Lawe crude terminal is expected to serve Pertamina’s refineries in Balikpapan.
“Therefore the capital expenditure for the Balikpapan [refineries] can be lower,” Rachmad explained.
Rachmad revealed that the crude terminal construction is expected to be completed by 2021. The centralized crude terminal will be built on a 1,100-hectare land owned by Pertamina.
Rachmad explained that the crude terminal will be built with the build operation and transfer. According to Rachmad, Pertamina will be willing not to have shares from the project.
“Many investors are interested [in the project]. After 15 or 20 years, the terminal will be handed over to Pertamina,” Rachmad said.
Rachmad hopes that the project expose for the centralized crude terminal project will be conducted in March. However, Rachmad admitted that Pertamina will discuss the project at the board of director level.
DIKO OKTARA