The Indonesian Balongan refinery (West Java) is now able to produce Euro-4 compliant gasoline, as planned under the framework of its modernization programme. The 125,000 bbl/d Balongan refinery is owned by Pertamina, the state-held Indonesian oil and gas company. The group currently operates six refineries: the 170,000 bbl/d Dumai, the 133,700 bbl/d Plaju, the 348,000 Cilacap, the 260,000 bbl/d Balikpapan, the 125,000 bbl/d Balongan and the 10,000 bbl/d Kasim facilities.
Pertamina plans to upgrade some of them but has experienced financing issues and in June 2017, it announced that it would delay some upgrades projects, including the ones developed in partnership with Russian group Rosneft or Saudi Aramco. Pertamina will delay the expansion of its 260,000 bbl/d Balikpapan refinery to 360,000 bbl/d by one year, from 2019 to 2020, and will also postpone the second phase of the project (fuel quality improvement) to 2021.
The completion of the US$5bn upgrade of the 348,000 bbl/d Cilacap refinery in Central Java - an upgrade programme jointly led with Saudi Aramco - will be delayed by two years, from 2021 to 2023. Pertamina also plans to delay the completion of the new 300,000 bbl/d Tuban refinery, from 2021 to 2023-2024.