JAKARTA (RambuEnergy.com) – The Energy and Mineral Resources Minister Ignasius Jonan has given a green light to a Chinese company to involve in the development of Grass Root Refiner (GRR) Bontang in East Kalimantan.
“At present, a China company is in talks with Pertamina to develop the Grass Root Refinery (GRR) Bontang,” Minister Jonan said the Indonesia China Energy Forum on Monday (Nov. 13).
Pertamina, in March this year, unveil the GRR Bontan project to investors with an estimated investment of US$8-10 billion.
Pertamina has said that the project is attractive because Pertamina will act as the off-taker, assuring the sustainable buyer and continuity of the project.
A portion of the products will be exported to neighboring countries such as Philippines and Australia and some portions will be delivered to the petrochemical industry.
Also on Monday, Energy Minister Ignasius Jonan and his China counterpart, the Administrator National Energy Administration (NEA) Nur Bekri signed a memorandum of understanding (MoU), aiming at improving cooperation and investment in the energy and mineral resources.
The signing ceremony was held during the 5th Indonesia-China Energy Forum (ICEF V), attended by government officials and business leaders of both nations. The Energy Forum was attended by 96 companies from China and 40 from Indonesia.
NEA’s Administrator Nur Bekri said the Chinese government is willing to expand the cooperation between the two nations.
Some Chinese companies are already becoming investors in Indonesia’s power plants projects as well as in the EPC works. (*)