JAKARTA, June 6 Pertamina plans to
delay some refinery upgrades and a new project, including
ventures involving Rosneft and Saudi Aramco, due to
financing issues, the Indonesian state oil company said on
The delays will mean that Indonesia, which is one of
Southeast Asia's biggest fuel importers, may have to ship in
more oil products than previously planned over the next decade.
Rachmad Hardadi, director of megaprojects and petrochemicals
at Pertamina, told reporters the timing of the targeted
completions had been pushed back to ensure that "the cost is not
a burden over the same (one or two) years".
He said readjustments were needed so the projects fitted
with upstream acquisitions and infrastructure requirements.
Hardadi said the completion of stage one of the Balikpapan
project, which is to boost the refinery's capacity to 360,000
barrels per day (bpd) from 260,000 bpd, would be pushed back to
2020 from 2019. Stage two, aimed at improving fuel quality,
would be delayed to 2021, he said.
Pertamina was awaiting a green light from the board of
partner Saudi Aramco for its plan to delay the completion of the
$5 billion upgrade of the 348,000 bpd capacity Cilacap refinery
in Central Java to 400,000 bpd to 2023 from 2021, he said.
Pertamina also planned to discuss with its partner Rosneft
on Wednesday delaying the completion of the new Tuban refinery
project to 2023-2024 from 2021, Hardadi said.
The new Tuban refinery, which will eventually be integrated
with the TPPI petrochemical refinery that Pertamina took over in
late 2015, will have a crude processing capacity of 300,000 bpd.
(Reporting by Wilda Asmarini; writing by Ed Davies; editing by