Reduce LPG Imports, Pertamina Genjot Production Of Badak Bontang Refinery To 780,000 MT

JAKARTA - Pertamina has realized its commitment to strengthening gas infrastructure by presenting a new LPG Production Booster System innovation at the Badak LNG Refinery, Bontang. This technology can increase LPG production for the Bontang region by up to 323 percent by 603 M3 per day.

This LPG Booster System has started operating since December 2021, and until October 2022 it has done three shipments. It is planned that this December it will be twice stuffy with a projected addition of LPG production of 1.56 million M3 or 780,000 metric tons during the 2022-2027 period.

"With this technological discovery, with this innovation it gives hope that Indonesia can produce additional national LPG production, which can automatically reduce LPG imports. This will strengthen national energy security," said PT Pertamina (Persero) President Director Nicke Widyawati to the media, Wednesday, December 7.

Nicke believes that gas is the transitional energy and Pertamina has budgeted 60 percent of investment for upstream.

Nicke further explained that the world is facing the threat of climate change that endangers future generations because the use of energy contributes up to 55.5 percent to greenhouse gases. In the midst of global climate change, gas is an important transitional energy for the future.

According to him, most countries still use fossil energy, including Indonesia.

Realizing this, all countries agreed to make changes, from using fossil energy to new and renewable energy (EBT). But it's not as easy as turning the palm of the hand, because energy consumption continues to increase sharply.

"Efficiency or reduced energy usage carefully and efficiently can contribute to reducing carbon emissions," added Nicke.

President Director of PT Pertamina Hulu Energi (PHE), Wiko Migantoro explained that as a subholding engaged in the upstream sector, PHE has gas sources. In fact, some potentials will still be monetized.

In the Mahakam Working Area, there has also been an exploration block which is expected to produce.

Wiko added, PT Badak LNG has a competitive advantage by starting a downstream business in collaboration with Subholding Gas to become a pioneer in small scale energy. In the world, Indonesia is one of the largest countries for small scale energy supply in the archipelago.

PT Badak has sent a lot of energy in the form of isotanks to Sulawesi, Sumbawa, Maluku, East Java and other regions.

"Especially for this LPG Booster System, it shows that friends in rhinos do not work normally," said Wiko.

On the same occasion, Deputy Mayor of Bontang Najirah expressed his hope that the inauguration of the LPG Production Booster System project could provide strategic benefits, both for PT Badak LNG and the Bontang City Government in reducing the need for imported LPG.

"In the future, the latest innovation launched by PT Badak LNG is expected to be able to contribute to the economic growth of the community, especially MSMEs to create a great and civilized city of Bontang," he said.