Badak LNG Refinery Innovation, Decreasing LPG Imports
Bontang, December 6, 2022 - Pertamina's commitment to strengthen gas infrastructure has been realized once again with LPG Booster System innovation at the Badak LNG Refinery in Bontang. This technology can increase LPG production for the Bontang region by up to 323% or 603 M3 daily.
This LPG Booster System has operated since December 2021, and until October 2022, it has made three shipments. It is planned that in December, there will be two shipments. It is projected that there will be additional LPG production of 1.56 million M3 or 780,000 Metric Tonnes during 2022-2027.
"This technological invention gives hope that Indonesia can produce additional national LPG production, which can automatically reduce LPG imports. This one will strengthen national energy security," said Nicke Widyawati, President Director of PT Pertamina (Persero), at the LPG Booster System launch, at the Badak LNG Refinery in Bontang, December 6, 2022.
Pertamina has the potential that can be developed. This is what PT Badak will continue in the future“ "We believe that gas is a transitional energy, and Pertamina has budgeted 60 percent of the investment for upstream," said Nicke
Furthermore, Nicke explained that the world is facing a climate change threat that endangers future generations because energy use contributes up to 55.5% of greenhouse gases. Amid global climate change, gas is an important energy transition for the future. According to her, most countries still use fossil energy, including Indonesia. Realizing this, all countries agreed to make changes, from fossil energy to NRE utilization. However, it is not easy because energy consumption continues to increase sharply.
"Efficiency or reducing energy utilization carefully and sparingly can contribute to reducing carbon emissions," added Nicke.
President Director of PT Pertamina Hulu Energi (PHE), Wiko Migantoro, explained that as a sub-holding operating in the upstream sector, PHE has gas sources that are expected to turn into oil in 2028. Some of the potentials will still be monetized, bearing in mind that in Central Kalimantan there are many Kanai and IDD. In the Mahakam Working Area, there is also an exploration block expected to generate production in 2031.
Wiko added that PT Badak NGL has a competitive advantage by starting a downstream business collaborating with Subholding Gas to become a pioneer of Small Scale Energy. In the world, Indonesia is a big country for small-scale energy supply in the archipelago. PT Badak has sent a lot of energy in the form of iso tank to Sulawesi, Sumbawa, Maluku, East Java, and other areas.
"Especially for this LPG booster system, it shows that friends at the Badak are not working normally," said Wiko.
On the same occasion, the Deputy Mayor of Bontang, Hj. Najirah, S.E. expressed her hope that the LPG Production Booster System project inauguration could provide strategic benefits, both for PT Badak LNG and the Bontang Government, in reducing imported LPG needs.
"In the future, the latest innovation launched by PT Badak LNG is expected to contribute to the community's economic growth, especially MSMEs to create a great and civilized city of Bontang," she said.