Indonesian state-owned oil company Pertamina and Japanese trading firm Mitsui & Co will collaborate to build a residue fluid catalytic cracking unit at the Cilacap refinery in central Java, Indonesia, according to a company official as cited by Reuters.
Reuters reported that the unit is expected to have a capacity of 60,000 barrels of gasoline per day. The Cilacap refinery already has two crude distillation units with a capacity of 118,000 and 230,000 barrels per day, respectively.
According to a senior Pertamina official, Mitsui will own an 80% stake while Pertamina will pick up the remaining 20%. The project is estimated to cost around $1.5 billion with the end product intended for the Indonesian market.