Design Process Reaches 91%, Tuban GRR Refinery Project Is Done Half Way

Tuban, April 20, 2022 — The National Strategic Project (PSN) of the Tuban Grass Root Refinery (GRR) refinery is entering the finalization of a detailed design or Front End Engineering Design (FEED) equivalent to 49% of the oil refinery construction process. The FEED process is expected to be completed in May 2022.

PT Pertamina Rosneft Pengolahan dan Petrokimia (PRPP), as the Tuban GRR project executor, reported that FEED progress as of March 31, 2022, reached 90.99%, or faster than the target of 87.84 percent. This process is expected to produce extra complex designs to process crude oil into international standard fuel and petrochemical products.

The company has been running FEED activities since March 16, 2021, in collaboration with Tecnicas Reunidas SA (TRSA), a company based in Spain and engaged in Engineering, Procurement, and Construction (EPC) as an engineering design contractor. In the FEED stage, TRSA develops the design of open-art units, off-site facilities and utilities, monitoring and integration of the overall design, including design data from the technology licensor.

“The achievement that exceeded the target was due to the collaboration of the PRPP Engineering Team with TRSA as a solid FEED contractor to ensure the FEED completion. Do not forget to also support other functions and PRPP management for this FEED work," said Eriyadi, Director of Development of PRPP, in an official statement on Tuesday (19/4/2022).

Simultaneously, cooperation with strategic partners is maintained, including PT Perusahaan Listrik Negara (PLN) for electricity supply at the construction stage and Kris Energi for gas supply. Likewise, with stakeholders, infrastructure  provision, such as the Demak–Tuban toll road, reactivation of the Babat–Tuban railway, support for tax incentives, and other support needed to support the Tuban GRR refinery.

The land clearing process organized by the Pertamina GRR Tuban team was running simultaneously and has now entered stage IV. In this phase, the Pertamina Tuban GRR has set a target of clearing a land area of 221.17 hectares (ha), including temporary drainage construction and fences installation. The completion of land clearing stage IV as of March 31, 2022, is 49.01%, or faster than the target (45.38%) by involving more than 330 residents around the project area. In total, the land clearing process for the Tuban GRR from stage I to stage IV has involved 1,220 workers, 99% of whom are locals.

During this process, the company maintains the principles of Occupational Health and Safety (K3) in the project environment. In the first quarter of 2022. The achievement of safe working hours for the Tuban GRR project, both in the Pertamina GRR Tuban team and in the PRPP, reached 403,496 hours. Cumulatively, the number of safe working hours for the Tuban GRR project since land clearing has been running reached 3,536,663 hours.

Eriyadi added that after the FEED is completed, the company will enter the Final Investment Decision (FID) process at the shareholder level to ensure the Tuban GRR project's sustainability. Furthermore, the engineering, procurement, and construction (Engineering, Procurement, Construction/EPC) phases are expected to start in the third quarter of 2023.

"Despite the dynamics of the current global situation that affects the oil and gas industry in general, PRPP and the Pertamina GRR Tuban Project team remain committed to continuing and completing the mandate that has been entrusted to us. We ask for prayers and support from all parties so that every stage we plan can run well and smoothly, including the Final Investment Decision (FID) process and the start of the EPC phase later in 2023," stated Eriyadi.**