JAKARTA (rambuenergy.com) – PT Chandra Asri Petrochemical Tbk [TPIA.IJ], the country’s largest petrochemical company, and BP Singapore Pte Ltd have completed a preliminary study for the development of a condenstate splitter project in Cilegon, Banten in the western tip of Java Island.
Both parties study possibility to develop a condensate splitter to process up to 100,000 barrels per day of feedstock.
Chandra Asri said the project is intended to reduce domestic reliance towards heavy import of refined products such as diesel and jet fuel. Indonesia is currently a net importer country for petrochemical raw material (naphtha) and fuel oil.
In addition, Chandra Asri also uses imported naphtha as its main raw material to produce olefins.
Chandra Asri and BP have been conducting a study on the condensate splitter, which aligns with Chandra Asri’s strategic plan in moving toward vertical integration and at the same time extend BP’s businesses in Indonesia.
Chandra Asri Petrochemical is the only producer that operates a naptha cracker and the sole domestic producer of styrene monomer and butadiene. These petrochemical products are key raw materials used to produce packaging, automotive, agriculture and other products.
BP, a British oil and gas giant, is a major player in oil and gas business in Indonesia. It develops the Tangguh LNG in West Papua. The company also has a downstream and petrochemical presence through Castrol and BP Petrochemical Indonesia. (*)