Home / Knowledge / News / Textiles / Pertamina plans to set up naphtha cracker in Indonesia
Pertamina plans to set up naphtha cracker in Indonesia
Dec '12
Indonesian state-owned firm PT Pertamina (Persero) is planning to build and commission a naphtha cracker in the country, in partnership with one of the three international companies short-listed by it.
The construction of naphtha cracker forms part of the company’s aim to grab up to 80 percent of national petrochemical market by 2025, a goal believed will be achieved through partnership with national and multinational companies.
For initial phase, Pertamina will carry out the naphtha cracker construction project with the capacity of 1 million tons per year, producing assorted superior petrochemical products. The project requires not less than US$5 billion investment.
To realize the plan, Pertamina has signed the Memorandum of Understanding with three multinational petrochemical companies – South Korea’s SK Global Chemical, Thailand’s PTT Global Chemical, and Japan’s Mitsubishi Corporation -- all of whom are renowned petrochemical companies in Asia.
Within four months since the signing of the agreement, Pertamina will select one company among the three based on its capability to meet the criteria, particularly the capability and strength in technology, business network and financial, to be the joint-venture partner to build naphtha cracker.
The naphtha cracker is expected to go operational in 2017, and will have capacity to produce 250,000 tons/year of ethylene, 400,000 tons/year of polyethylene, and 350,000 tons/year of polypropylene, the company said in a statement.
Pertamina and selected partner will then conduct Feasibility Study (FS), which would be completed by the end of 2013. It will be followed by the signing of the joint-venture to build the petrochemical plant in December 2013.
At present, Pertamina meets only around 10 percent of national petrochemical demand and the company aims to grab a 30 percent market share in 2017, when the naphtha cracker becomes operational.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 27th Mar 2017

Himatsingka to disinvest 100% stake in Italian subsidiary

The board of directors at Indian home textiles manufacturer and...

Courtesy: Flipkart

Apparel/Garments | On 27th Mar 2017

Flipkart bags $1bn funding at lower valuation

In a new round of funding, Flipkart, one of India's biggest ecommerce ...

Textiles | On 27th Mar 2017

CCI shows US cotton textiles at Intertextile Shanghai expo

The Cotton Council International (CCI), the global marketing arm of...

Interviews View All

Poojaa Kumar Deepak

Zeven's performance sports apparel is designed for the Indian body type,...

Hannah Lane

Encouragement from brands will motivate supply chains to become more...

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Pranav Mishra

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Subscribe today and get the latest News update in your mail box.
Advanced Search