Monday, 10 November 2025
The commemoration of Heroes' Day on November 10, 2025, was a special moment for Pertamina in supporting national energy security, marked by the initial operation of the main processing unit or Residual Fluid Catalytic Cracking (RFCC) Complex, part of the Balikpapan Refinery Development Master Plan (RDMP) project.
The RFCC unit is the main unit of the refinery, the heart of the refinery's modernization, which will produce Euro V-standard fuel and improve the efficiency and economic value of the Balikpapan Refinery.
The Balikpapan RDMP Project itself is a National Strategic Project (PSN) carried out by PT Kilang Pertamina Internasional (KPI), through its subsidiary PT Kilang Pertamina Balikpapan (KPB). With an investment value of USD 7.4 billion or equivalent to approximately IDR 120 trillion, this project is the largest refinery modernization in Indonesia and one of the most strategic energy projects in Southeast Asia.
This strategic project for the revitalization of domestic refineries is in line with the government's Asta Cita, particularly in strengthening energy downstreaming and the independence of the national oil and gas industry, increasing the added value of domestic resources, and strengthening national energy security and sovereignty. The Balikpapan RDMP project has completed several important project stages, namely the successful trial of the Refining Unit's capacity, thereby increasing crude oil processing capacity from 260 thousand to 360 thousand barrels per day, the commissioning of a 320,000 DWT Single Point Mooring (SPM) facility for mooring Very Large Crude Carriers (VLCCs), the completion of the construction of two new crude oil storage tanks, each with a capacity of 1 million barrels in Lawe-lawe, and the successful operation of the LPG purification unit with a current production capacity of 43 thousand tons per year.
“Today, the RFCC Complex Unit will begin operations. To ensure that the process runs smoothly, we are holding a joint prayer so that the stages that will be passed can run safely and smoothly,” said Acting Corporate Secretary of KPI Milla Suciyani.
This joint prayer activity was attended by the Independent Commissioner of PT Pertamina (Persero), the Independent Commissioner of PT KPI, the Board of Directors of PT KPI, the Board of Commissioners and Directors of PT KPB, the Management Team, and workers at the Balikpapan Refinery.
As a form of concern and gratitude for this achievement, the company provided compensation to 11 recipients, consisting of 5 places of worship from 5 religions, 2 associations for people with disabilities, 2 Child Social Welfare Institutions (LKSA), Elderly Social Welfare Institutions (LKS-LU), and Veteran Institutions.
Milla said that the implementation of the RDMP project was inseparable from the support of the government. “The government has given its full support to the completion of the Balikpapan RDMP project by designating it as a National Strategic Project, in order to support national energy self-sufficiency, strengthen industrial downstreaming, and ensure that Pertamina becomes the backbone of Indonesia's energy transformation towards independence and sustainability,” she explained.
Milla added that the Balikpapan RDMP Project is a step to increase the refinery's design capacity from 260,000 to 360,000 barrels per day and will result in additional production of gasoline, diesel, jet fuel, and LPG, all of which meet Euro V emission standards.
“The RDMP project will also generate additional production capacity of up to 336 thousand tons of LPG per year, making the Balikpapan refinery the main driver of the clean energy transition program in Indonesia,” said Milla.
Economically, the Balikpapan RDMP will have a significant impact on national energy independence, with savings in fuel imports of up to IDR 68 trillion per year and a contribution to the national GDP of IDR 514 trillion. This project also has a TKDN of more than 35% and has absorbed more than 24,000 workers during the peak construction period.
“In addition to strengthening the national economic structure, this project has a positive social impact through local infrastructure development, community empowerment, and CSR programs in the fields of education, health, and the environment,” concluded Milla.
KPI is a subsidiary of Pertamina that operates in the oil and petrochemical processing business in accordance with ESG (Environment, Social & Governance) principles. KPI is also registered with the United Nations Global Compact (UNGC) and is committed to the Ten Universal Principles of the UNGC in its operational strategy as part of its ESG implementation. KPI will continue to conduct its business professionally to realize its vision of becoming a world-class oil refinery and petrochemical company that is environmentally conscious, socially responsible, and has good corporate governance.