Press release from PR Newswire
Honeywell's UOP To Help Develop Modernization Plan For Indonesian Refineries
Monday, October 07, 2013
Honeywell's UOP To Help Develop Modernization Plan For Indonesian Refineries09:00 EDT Monday, October 07, 2013
Supports Master Plan to Upgrade Major Assets of PT Pertamina
JAKARTA, Indonesia, Oct. 7, 2013 /PRNewswire/ -- UOP LLC, a Honeywell company (NYSE:HON), announced today that it will help PT Pertamina (Persero), the national oil and natural gas company of Indonesia, develop a master plan to modernize the state-owned company's refineries.
Honeywell's UOP, a recognized global leader in refining and petrochemical technology, will develop a recommendation, called a "bankable feasibility study," for the modernization of Pertamina's five largest refineries, an effort partially funded by a $1.07 million grant from the U.S. Trade and Development Agency (USTDA). The project was announced at a signing ceremony at Pertamina's headquarters in Jakarta.
"Our company has specialized in the design and modernization of refineries around the world for nearly 100 years, working to derive the maximum value from every drop of oil," said Rajeev Gautam, president and CEO of UOP. "We have worked with Pertamina for more than four decades, and have recently established an office in Jakarta to expand our presence in Indonesia and better serve Pertamina and the region."
Karen Agustiawan, president director of PT Pertamina, said, "Pertamina recognizes the need to modernize its refining infrastructure to meet the rising demand for energy and petrochemical products in Indonesia, while strengthening national oil security and reducing our nation's reliance on imports."
Agustiawan said the company is evaluating plans for a centralized terminal for crude imports as well as upgrading the company's five main refineries to allow them to process heavier, lower-quality crude oil.
The refineries to be studied are Balikpapan, East Kalimantan; Cilacap, Central Java; Dumai, Riau; Plaju, South Sumatra, and Balongan, West Java. The company also operates a sixth smaller refinery in West Papau with a capacity of 10,000 barrels per day. Pertamina's total refining assets have a capacity of nearly 1 million barrels per day.
The company's last new refinery was built in 1994 in West Java. The company recently completed a feasibility study for a seventh refinery, which the company hopes to complete and open in 2018. Pertamina is Indonesia's largest state-owned enterprise, active in both upstream and downstream sectors of the oil and gas industry.
Honeywell's UOP has been involved in the Indonesian oil and gas industry for more than 40 years and has licensed many of the technologies currently used in Pertamina refineries. In 1972, Pertamina installed a UOP semi-regen Platforming unit at the Dumai Refinery in Sumatra, followed by the licensing of six UOP CCR Platforming process units, which use naphtha feedstocks to produce high-octane gasoline and valuable petrochemicals for further processing. In 1994, UOP introduced the world's largest Reduced Crude Conversion (RCC) process unit, which directly converts heavy residual feedstocks into lighter transportation fuels, at the Balongan Refinery in Balongan, West Java. UOP also has a sales and service office in Jakarta.
UOP LLC, headquartered in Des Plaines, Ill., is the leading international supplier of catalysts, adsorbents, equipment and process technology for the petroleum refining, gas processing, petrochemicals and renewable energy industries. The company has developed some of the most innovative and productive technology in the hydrocarbon industries. UOP is a wholly-owned subsidiary of Honeywell International, Inc. and is part of Honeywell's Performance Materials and Technologies strategic business group. For more information, go to www.uop.com.
Honeywell is a Fortune 100 diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; turbochargers; and performance materials. Based in Morris Township, N.J., Honeywell's shares are traded on the New York, London, and Chicago Stock Exchanges. For more news and information on Honeywell, please visit www.honeywellnow.com.
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