Pertamina, Honeywell sign renewable diesel deal

Indonesian state-owned refiner Pertamina is partnering with US engineering firm Honeywell to produce renewable diesel at two of its plants in Palembang and central Java province.

The company will use Honeywell's UOP renewable jet fuel process technology at its 118,000 b/d Plaju refinery in Palembang, south Sumatra, and UOP Ecofinig technology at its 348,000 b/d Cilacap refinery in central Java.

Plaju will produce 20,000 b/d of renewable jet fuel, diesel fuel and liquified petroleum gas by 2023, while Cilacap will process 6,000 b/d of advanced biofuels by June 2022.

Pertamina can already produce 1,000 b/d of palm-based renewable diesel at its 170,000 b/d Dumai refinery in Riau province.

Indonesia is looking to become increasingly energy independent and finding alternative uses for its 46mn t/yr palm oil industry, as traditional outlets such as the European biodiesel market begin to fade away because of sustainability concerns.

By Amandeep Parmar