Ensures fertilizer raw materials availability and accelerating the energy transition for the sustainability
PT Pupuk Indonesia (Persero) signed two Memoranda of Understanding (MoUs) with two subsidiaries of PT Energi Mega Persada (EMP) Tbk. The signing of these two Memoranda of Understanding (MoUs) marks a significant step in ensuring the availability of fertilizer raw materials and accelerating the energy transition for the sustainability of the national fertilizer industry and supporting food security.
“Through these two strategic MoUs, Pupuk Indonesia is not only strengthening the availability of raw materials but also becoming an enabler of the clean energy transition to achieve food self-sufficiency and a more resilient, efficient, and sustainable fertilizer industry,” said Pupuk Indonesia President Director Rahmad Pribadi at the signing ceremony of the two MoUs in Jakarta.
The first MoU was signed by Pupuk Indonesia with EMP Gebang Limited, the operator of the Gebang Working Area. Through this signing, Pupuk Indonesia and EMP Gebang Limited will conduct a study, evaluation, and exchange information on opportunities for collaboration to utilize natural gas supplies from the Gebang Working Area in North Sumatra.
In the MoU, Pupuk Indonesia is exploring the possibility of utilizing EMP Gebang’s gas, with an estimated daily delivery volume of approximately 100 BBTUD.Rahmad stated that the Gebang Working Area offers a potential long-term domestic gas supply that is highly relevant and aligned with the development or revitalization of fertilizer factories in North Sumatra. Gas supplies from the Gerbang Working Area are expected to support operations and the planned revitalization of PT Pupuk Iskandar Muda (PIM)’s factory.
“Through this memorandum of understanding, we will receive gas supply support from one of EMP’s blocks. So, God willing, with this additional capacity, we can do a lot at PIM, including revitalizing it,” said Rahmad.Rahmad emphasized that the availability of gas, a primary raw material, is crucial in meeting national fertilizer needs. He added that PIM’s planned factory revitalization also relies heavily on a secure gas supply to maintain operational sustainability, increase production capacity, and boost efficiency.
Meanwhile, the second MoU was signed by Pupuk Indonesia with PT Pema Global Energi (PGE) regarding the utilization of carbon dioxide (CO2) emissions. Through this Memorandum of Understanding, Pupuk Indonesia and Pema Global Energi will explore opportunities for collaboration in the development of Carbon Capture and Storage (CCS) and Carbon Capture Utilization and Storage (CCUS) in PGE’s Working Area, particularly in the Arun Gas Field in Lhokseumawe, Aceh, for blue ammonia production.Rahmad stated that the Arun Special Economic Zone (KEK) was chosen as the location for CCS and CCUS development because the region holds significant potential as a center of economic growth in Aceh.
With this potential, he hopes Aceh will become a global hub for clean ammonia trade.
