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Kilang Pertamina Internasional spearheads green refinery expansion for enhanced biofuel production

  • Published on 17/07/2023 at 06:39 GMT+7

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PT Kilang Pertamina Internasional (KPI) will develop HVO, bioavtur, and bionafta in 2 of its green refineries in Cilacap in Central Java and Plaju in South Sumatra.

Development of HVO, bio avtur, bio naphtha

The company plans to increase production of biofuels such as hydrotreated vegetable oil (HVO), bio avtur and bio naphtha, which will be completed in 2027.

Currently, the company operates a green refinery at the Cilacap refinery with a capacity of 3,000 barrels per day (bpod) to produce hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF).

HVO is a renewable diesel which is produced through a process of hydrogenation and hydrocracking using hydrogen, which will produce main products such as green diesel and D100.

So far, the Cilacap refinery has been able to process raw materials for a mixture of fuel oil from palm oil or refined bleached deodorized palm oil (RBDPO).

Going forward, Pertamina plans to increase the ability of refineries to process used cooking oil (UCO) into biofuels and HVO.

Development of the two Cilacap and Plaju refineries

Meanwhile, the company will develop the Cilacap green refinery in phase two with the aim of increasing processing capacity to 6,000 bpod and being able to process used cooking oil.

Taufik Adityawarman, President Director of PT KPI, said that the production volume of biofuels will increase until 2040.

On the other hand, the Cilacap green refinery which will operate in 2026 will be able to improve product quality and reduce exhaust emissions.

"Pertamina's green refinery is Pertamina's refinery's commitment to producing quality and environmentally friendly fuel," said Taufik, on July 14, 2023.

PT KPI has a national general energy plan (RUEN) to increase processing capacity from 1.05 million bpod to 1.4 million bpod, and fuel oil production from 700,000 bpod and 1.2 million bpod.

The increase is targeting petrochemical commodities from 1.6 million tons per year to 7.4 million tons per year, this aims to reduce gasoline imports to 25%. Currently, gasoline imports are stuck at 60%.

Pertamina also plans to expand the processing capacity of the Plaju Refinery to 20,000 bpod. Later, it will be able to produce Pertamina RD, Bioavtur, and Bionaphta in 2027.

Taufik said the development of the Plaju green refinery is worth US$ 200 million which is used for development, improvement and adjustment based on the product and technology.

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