Indonesia’s state refiner Pertamina is ramping up operations at its Balikpapan refinery after completing a revamp that started in February, a company official said on Tuesday (May 14).
“Actually (the refinery upgrade) has completed,” said Kilang Pertamina Internasional spokesperson Hermansyah Nasroen, adding that the refinery was returning to normal operations.
The refinery’s crude processing capacity will rise to 360,000 barrels per day (bpd) from 260,000 bpd following the revamp, he said.
The company had planned to resume full operations in the second half of April. The spokesperson did not comment on what caused the delay.
The Balikpapan project, part of Pertamina’s long-term refinery upgrade plans, will be able to produce fuel with Euro V emission standards subsequently.
Indonesia imported around 246,000 metric tons of diesel a month during the January-April period, a 50 per cent increase from the same period last year, Kpler shiptracking data showed.
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This was mainly to replenish the loss of domestic production amid better demand after the Ramadan period, two trade sources said.
The refiner is still seeking prompt May diesel deliveries these few days, the sources added.
Meanwhile, average monthly imports of gasoline rose by around 28 per cent in the first four months of this year, compared with the same time last year, the data showed.
Import demand for diesel could decline slightly after the refinery capacity expansion going into June and July, one of the sources said.
Indonesia typically buys higher-sulphur diesel such as the 2500ppm grade via spot tenders, Reuters records show. REUTERS
