Indonesia State owned Agriculture company targets to supply 1/3 of the country cooking oil demand

[Indos]

REPUBLIKA.CO.ID, JAKARTA -- President Director of PTPN III (Persero) as the holding company of plantation SOEs Mohammad Abdul Ghani said SOE Minister Erick Thohir emphasized that PTPN Group is transforming related to the commodity roadmap. Erick, ghani said, wants PTPN Group to focus on a number of commodities.

PTPN palm oil farm in West Java

"So far, we have managed a lot of commodities, but in the future we will focus on two main commodities, namely palm oil head and cane sugar. Specifically for palm oil and cane sugar, this national strategic project (PSN) has been included," said Ghani during the Morning Chat (Ngopi) with BUMN at the Ministry of SOEs office, Jakarta, Monday (22/8).

Ghani targets PTPN to produce 1.8 million kg of cooking oil (migor) by 2026 or about one-third of the national cooking oil needs of 5.7 million tons. As for the bulk category, ghani continued, PTPN Group is able to supply 80 percent of the community's needs.

Ghani also targets to increase the area of oil palm land managed by PTPN from the current 550 thousand hectares to 700 thousand hectares by 2030. This can be realized through the policy of refocusing commodities by converting rubber plants to oil palm.

"When that happens, PTPN will become the world's largest oil palm plantation company. At that time we will enter the downstream sector as well, in 2026 it will produce 1.8 million tons and biodiesel will produce at least 450 thousand tons," said Ghani.

To realize this, continued Ghani, PTPN Group is currently waiting for the Presidential Regulation on the establishment of an oil palm subholding called Palmco. He hopes that the process of forming Palmco can be completed by next October.

"Since last year, August 18, PTPN has launched cooking oil for retail under the NusaKita brand, the target is that by 2024 we will produce 6 percent of national production. Until the end of this year, the capacity of our plant is 17 thousand tons per month and gradually continues to be increased," he added.

MSN

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[Indos]

There is also program to build small cooking oil factories within small palm oil farmer land (every 10.000 hectares) across Indonesia. This are all program to make Indonesia cooking oil affordable in the country as basically the state will dominate the cooking oil industry in the country. Making small cooking oil factories by the government is also intended to give small farmers better price for their CPO (Crude Palm Oil) production.

 

[SoulSpokesman]

@Indos

Indos Bro,

I am curious to know how Indonesia utilises the byproducts. Is there a large scale attempt to utilise wastes (like empty fruit bunches, fruit pulp and fibre and kernel shells) for generating bio CNG, bio fertiliser and power?

Regards

 

[Indos]

@Indos

Indos Bro,

I am curious to know how Indonesia utilises the byproducts. Is there a large scale attempt to utilise wastes (like empty fruit bunches, fruit pulp and fibre and kernel shells) for generating bio CNG, bio fertiliser and power?

Regards

The program for that has been increased, I have read the news about that, and yep the potency is big.

Some of our private owned companies have already tap this potential

Kuala Langsa Customs Releases Export of Palm Shells

Bea Cukai Kuala Langsa Lepas Ekspor Cangkang Kelapa Sawit

Ini merupakan kegiatan ekspor perdana di tahun 2020 yang dilakukan oleh PT Sultana Biomas Indonesia via pelabuhan Kuala Langsa.

www.jpnn.com

Our company processed vast amount of coconut shell and wood to produce diverse high-quality briquette and sawdust goods serving the need of wide range of markets segment. From grilling and shisha to heating and even bio energy for power plant, we are ready to fulfil all market demand.

https://biomassindo.com/

 

[SoulSpokesman]

@Indos

Indos Bro,

Thanks.

Regards

 

[Indos]

Gas Supply for Fertilizer Plants in 2023 is Safe, Here's the Allocation​

NEWS - Verda Nano Setiawan, CNBC Indonesia
15 December 2022 17:50


Jakarta, CNBC Indonesia - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) ensures that the gas needs for fertilizer plant operations in Indonesia next year will be met.

This was in response to concerns related to the cessation of gas supply for the PT Pupuk Iskandar Muda (PIM) I plant in Lhokseumawe, Aceh, at the beginning of next year.

Deputy of Finance and Commercialization of SKK Migas Kurnia Chairi said that his party has allocated gas for six fertilizer plants in 2023. The allocation is as follows:

1. Pusri Palembang with gas needs of 190 million standard cubic feet per day (MMSCFD) status is met. The gas supply for Pusri Palembang comes from the Medco E&P Corridor PSC, Pertamina EP, Medco E&P South Sumatra and Lematang and Tropik Pandan.

2. Kujang Cikampek fertilizer with the need for 101 MMSCFD status is met. The gas supply comes from KKKS Pertamina EP West Java, PHE ONWJ and Pertamina EP Sumsel through PGN.

3. Gresik Petrochemical with the need for 141 MMSCFD status met. The gas supply itself comes from HCML fields of MDA - MBH, MAC and BD, Pertamina EP Cepu and Kangean Energi.

4. East Kalimantan fertilizer with gas needs of 335 MMSCFD status is met. The gas supply comes from KKKS Eni Muara Bakau, Eni East Sepinggan, PHKT, PHSS and PHM as well as Chevron Rapak and Makassar Strait.

5. Iskandar Muda Fertilizer Plant (PIM) 2 with a need of 50 MMSCFD with a status of fulfilled. Natural gas supply comes from the Medco E&P Malacca PSC and PHE NSO and PEMA Global Energi.

6. Iskandar Muda Fertilizer Plant (PIM) 1, which has just been reactivated and has been met with gas needs until December 2022. As for the needs of 2023, PIM originally planned through imports, but due to the current high international prices, it can make the project uneconomical.

Meanwhile, based on Indonesia's gas balance in 2023, the need for PIM-1 gas supply volume of around 55 million standard cubic feet per day (MMSCFD) can be met. Especially from the potential for uncommitted LNG cargoes in 2023 as many as 9 cargoes, which can be used, among others, to meet the gas needs of PIM 1 which is around 5 cargoes.

"The potential for uncommitted cargo is even expected to increase if the Tangguh Train 3 project is able to carry out the commissioning process at the beginning of next year. The fulfillment of this gas supply will certainly depend on the price and also the scheduling which will be discussed immediately after the PIM proposal to SKK Migas is submitted," he said.

Meanwhile, PT Pupuk Indonesia (Persero) also continues to strive so that the need for liquefied natural gas (LNG) for the Pupuk Iskandar Muda (PIM) I plant in Lhokseumawe, Aceh is not hampered. One option is to absorb LNG owned by PT PLN (Persero).

Pupuk Indonesia's SVP of Corporate Communication Wijaya Laksana said that in order to overcome the shortage of gas supply for the PIM-1 fertilizer plant, his party had coordinated intensely with cross-ministries. A number of LNG that should be intended for PLN is planned to be diverted to meet the PIM-1 gas supply.

"The plan is to further discuss the cooperation scheme with PT PLN so that starting in January 2023 PIM can obtain LNG gas supply," said Wijaya.

Even so, Wijaya did not specify how much volume and price of LNG would be obtained from the state-owned company. The reason is, until now the discussion process is still ongoing.

Pasokan Gas untuk Pabrik Pupuk di 2023 Aman, Ini Alokasinya

SKK Migas memastikan kebutuhan gas untuk operasional pabrik pupuk di Indonesia pada tahun depan bakal terpenuhi.

www.cnbcindonesia.com

 

[Indos]

Pupuk Indonesia Increases Production Capacity
​

Pupuk Indonesia Holding Company (PIHC) Factory or PT Pupuk Indonesia (PI Persero). (Photo: IST)

15 October 2022

JAKARTA, investor.id – Pupuk Indonesia Holding Company (PIHC) or PT Pupuk Indonesia (PI Persero) seeks to increase production capacity by building a new factory.

In the company's short and medium-term strategy, the PI is and will carry out the construction of a new urea fertilizer plant with a total capacity of 2.1 million tons per year and a new NPK fertilizer plant with a total capacity of 1.4 million tons per year.

Director of Business Transformation of PI Panji Winanteya Ruky in a discussion entitled Ensuring Indonesian Agricultural and Food Security on the sidelines of the BNI Investor Daily Summit 2022 event at JCC Senayan, Jakarta, Wednesday (12/10/2022), explained that PI seeks to increase capacity and secure raw materials and implement digitalization for fertilizer distribution systems in the domestic market.

Also read: Pupuk Indonesia Strives to Secure Raw Materials

"In increasing production capacity, the short and medium-term strategy carried out by PI is to build new factories for urea and NPK fertilizers," said Panji.

The construction of new urea fertilizer in detail is in Palembang with a capacity of 0.97 million tons per year and West Papua 1.15 million tons per year. As for the new NPK fertilizer plant, it is in Aceh with a capacity of 0.5 million tons per year, Cikampek 0.2 million tons per year, and Gresik 0.7 million tons per year.

According to information from the company, the total production capacity of PI fertilizers currently reaches 13.9 million tons. Meanwhile, to secure NPK fertilizer raw materials, PI among others, develops strategic reserves. Meanwhile, in terms of distribution and marketing, PI also pursued strategies including building 1,800 Kiosks and developing Kiosk Apps (Partners) and product tracking.

Also read: Pupuk Indonesia Launches Fertilizer Cluster Research Roadmap 2022-2031

Panji explained that urea fertilizer is produced from natural gas and the supply of gas for fertilizer within the framework of food security is still adequate. As for NPK-type fertilizers, especially for phosphates and potassium, the price of its raw materials that had to be imported from Russia and Belarus which soared three times due to the impact of the war.

Also read: Pupuk Indonesia Supports the Development of the Digital Economy in the Agricultural Sector

Furthermore, Panji said, the role of chemical fertilizers is still very necessary in realizing national food security. With the soaring price of fertilizers, the cost of fertilizer, which is usually only 10-11% of the current farm business costs, has become 26-27% or one-third of the cost of farming.

"This must be a matter of concern because fertilizer is needed to realize food security and sovereignty. Therefore, we also do strategic reserves for fertilizer raw materials," he said.


Editor : Jauhari Mahardhika (jauhari@investor.co.id)

Source : Investor Daily

Pupuk Indonesia Tingkatkan Kapasitas Produksi

Pupuk Indonesia Holding Company (PIHC) atau PT Pupuk Indonesia (PI Persero) berupaya meningkatkan kapasitas produksi.

investor.id

 

[Indos]

Indonesia Exports Gas to Singapore Until 2028, Volume Cut by 40%​

Senoro Oil and Gas Working Area – Toili© Pertamina documentation


Story from Yuliawati • Oct 31


The Ministry of Energy and Mineral Resources extended the contact of natural gas sales to Singapore until 2028. The gas supply will be sourced from the South Sumatra Corridor Block which is distributed through pipelines.

The operator of the Corridor Block is PT Medco Energi Internasional. President Director of Medco Energi, Hilmi Panigoro, said he supports the government's move to export natural gas to Singapore.

"We support the government for the approval of the allocation of gas supply from the Corridor Block to Gas Supply Pte Ltd's (GSPL)," said Hilmi when contacted via WhatsApp short message on Monday (31/10).

Medco is also trying to meet domestic gas supplies while executing natural gas sales contracts to Singapore. However, Hilmi was reluctant to explain the price and volume of gas sales from the Corridor Block to the GSPL. "After the acquisition of Corridor, we believe Medco Energi can meet gas needs both domestically and internationally," said Hilmi.

Indonesia extended its natural gas sales contract to Singapore for five years until 2028. The commitment is before the expiration of contact in 2023. The number of new gas contracts is reduced by 30-40% from the old contracts in order to meet domestic demand.

Indonesia extended its natural gas sales contract to Singapore for five years until 2028. The commitment is before the expiration of contact in 2023. The number of new gas contracts is reduced by 30-40% from the old contracts in order to meet domestic demand.

MSN