Minister of Energy and Mineral Resources Bahlil Lahadalia has asked state-run oil and gas company Pertamina to complete the Refinery Development Master Plan (RDMP) project in Balikpapan, East Kalimantan, by July 2025 to boost oil production.
The RDMP aims to revitalize five refineries, including the one in Balikpapan, to increase the capacity of oil refineries in Indonesia.
After reviewing the RDMP project in Balikpapan on Saturday, Lahadalia said that once completed, the project would increase domestic oil output by up to 100,000 barrels of oil per day (BOPD). Currently, the capacity of the refinery in Balikpapan is 260,000 BOPD.
"With the additional 100,000, it will be at 360,000 BOPD in total," he said.
Thus, the project is expected to help achieve energy self-sufficiency, as targeted by President Prabowo Subianto, he added.
Lahadalia explained that the oil production facility, part of the national strategic projects, experienced a fire in May that caused delays in construction.
However, major progress has resumed, with the RDMP facility now 91 percent complete.
Earlier, Deputy Minister of Energy and Mineral Resources Yuliot Tanjung highlighted the role of the downstream oil and gas sector in realizing energy self-sufficiency, in line with President Prabowo's Asta Cita (Eight Missions).
Data from the Ministry of Energy and Mineral Resources shows that in the first half of 2024, the energy mix was dominated by coal at 39.48 percent, followed by oil at 29.90 percent, natural gas at 16.69 percent, and renewable energy at 13.93 percent.
Meanwhile, energy mix projections for 2050 indicate that the share of oil will reach 20 percent, while natural gas will account for 24 percent.
Related news: Minister highlights downstream oil, gas role in energy sufficiency
Related news: Indonesia planning to build oil storage facility near Singapore
Translator: Ahmad Muzdaffar, Raka Adji
Editor: Anton Santoso
Copyright © ANTARA 2024
