Pertamina names consortium to build $283 mln propylene plant

Jakarta (ANTARA News) - Indonesia's state owned oil-and-gas company PT
Pertamina said Tuesday it has chosen the consortium of PT Rekayasa
Industri (Rekin) and Toyo Engineering Corp to build a propylene
processing unit worth 283 million US dollars.

The project is expected to commence operation in October 2010 and will
have an annual capacity of 179,000 metric tons, Pertamina president Ari
Sumarno was quoted by Thomson Financial as saying.

Propylene can be processed further into polypropelene, which is used as a raw material to produce plastics.

Pertamina currently produces polypropelene at an annual capacity of 42,500 metric tons.

"The production expansion is to meet increasing demand," Soermano said.

The engineering, procurement, construction and commissioning (EPCC)
contract between Pertamina and the consortium was signed today, he
said. (*) END

Read Also
Indonesia Pertamina to seek more jet fuel

Indonesian state oil firm Pertamina will seek an additional 280,000
barrels of jet fuel for delivery this month due to problems at its
Dumai refinery, a company official said on Friday.

Pertamina 2007 net profit seen up 21.1 percent

Indonesia's state-owned oil and gas company PT Pertamina is likely to
have recorded a 21.1 percent rise in net profit in 2007, helped by
higher oil prices, company president Ari Sumarno said Friday.

Pertamina to lift investment by 50 percent

Indonesia's state oil and gas firm, Pertamina, aims to lift investment
by 50 percent to 21 trillion rupiah ($2.2 billion) this year to boost
crude output and upgrade refineries, its president said on Thursday.