Supports Energy Security, Balikpapan RDMP Progress Reach 43 Percent Target in October
Balikpapan, 4 November 2021 – Pertamina's strategy in accelerating the Balikpapan National Strategic Project (PSN) Refinery Development Master Plan (RDMP) is proven by its success in scoring large project milestones in 2021. After successfully installing the 'Propane-Propylene Splitter' (C3 Splitter) last October, Pertamina through one of its subsidiaries of PT Kilang Pertamina Internasional (PT KPI), namely PT Kilang Pertamina Balikpapan (PT KPB) succeeded in carrying out the project's progress to more than 43 percent by the end of October 2021. This progress has significance for the resilience stage of Indonesia’s energy, considering that the Balikpapan RDMP aims to increase the production capacity of fuel and non-fuel products from 260MBSD to 360MBSD.
PTH President Director of PT KPI, Suwahyanto revealed that the progress performance of the Balikpapan RDMP has exceeded the reforecast target of 43.03 percent. “Until the end of October, the Balikpapan RDMP managed to achieve the realization of 0.25% more than the reforecast target, where the project realization reached 43.28%. This acceleration is supported by the acceleration of the delivery of Long Lead Item (LLI) equipment, the majority of which have arrived in Balikpapan in 2021,” added Suwahyanto. This acceleration is in line with the Balikpapan RDMP peak construction which is estimated to occur in mid-2022.
The LLI is an equipment package which entire process takes a long time, starting from procurement, manufacturing to the project site in Balikpapan. With the extra effort implemented in the middle of the pandemic, PT KPB has succeeded in carrying out Engineering, Procurement, and Construction (EPC) activities, which are shown by KPB's milestones in carrying out construction activities in the field, which include civil, mechanical, piping, electrical and equipment lifting activities. with large dimensions to the prepared foundation.
An example of an LLI that was successfully installed in the Balikpapan RDMP project is the 'Column Propane-Propylene Splitter' (C3 Splitter), an important piece of equipment that functions to separate propylene and propane compounds so that it generates propylene products with a very high purity that meet the requirements as factory raw materials Poly Propylene petrochemical in Balongan. Feri Yani, President Director of PT Kilang Pertamina Balikpapan (PT KPB) said that the installation of the C3 Splitter at the Balikpapan RDMP last October was an important momentum, considering that this equipment was included in the LLI which had been ordered since July 2019 and arrived in Balikpapan in July 2021.
“Besides the Propylene Splitter, other LLI equipments that have been successfully installed are the Steam Turbine Generator in September and the Alkylation Reactor in August 2021,” explained Feri Yani. After the equipment, the Balikpapan RDMP targets the installation of reactor-regenerator, CO Boiler, Catalyst Cooler in December 2021 and is currently accelerating other LLI including Main Air Blower and Main Fractionator.
Balikpapan RDMP Dedication for Energy Security
Suwahyanto emphasized that the acceleration of the Balikpapan RDMP was carried out to support national energy security. Entering the age of 4, PT KPI, which is now the holding company for Pertamina's refinery and petrochemicals, has the authority to manage the Balikpapan RDMP, which is one of Pertamina's largest projects.
“Considering that the Balikpapan RDMP is one of the pillars of energy independence, PT KPI continues the Balikpapan RDMP project on an On Time, On Budget, On Specification, On Return, On Regulation (OTOBOSOROR) basis,” explained Suwahyanto.
RDMP Balikpapan aims to increase crude oil processing capacity from 260MBSD to 360MBSD. Moreover, the Balikpapan RDMP aims to increase the complexity of the refinery from 4.4 to 8.8 which is calculated through the Nelson Complexity Index. What is equally important is that the Balikpapan RDMP also aims to improve product quality to Euro V and a target minimum of 30% TKDN absorption, Suwahyanto added.
In line with Suwahyanto, Feri Yani explained that the Balikpapan RDMP managed by PT KPB targeted onstream by the end of 2024 aims to increase capacity to 360,000 barrels per day and produce quality products that meet Euro V standards. The ongoing RDMP is also intended to increase flexibility in processing economical crude oil available in the market.
We ask for support and prayers from all Indonesians, so that we can carry out this mandate properly. In accordance with the re-forecast target, the Balikpapan RDMP Project must be able to complete the construction and operate the new Utilities Complex by 2023, as well as the RFCC and Alkylation Complex in the first semester of 2024 and the HOMC producing unit by the end of the second semester of 2024.**