Pertamina ends its partnership with Eni to produce HVO from palm oil
Type of post: NEWS IN BRIEF.
PT
Pertamina (Indonesian state-owned company engaged in the energy sector) has
ended its partnership with Eni to transform its Plaju conventional refinery
into an HVO
biorefinery. The company is to continue with its plan to process palm oil
into HVO despite the termination of the cooperation.
News (Reuters): “Indonesia's Pertamina ends deal with
Italy's Eni for palm oil fuel project -Pertamina CEO”, 29/1/2020.
Related posts:
- “Eni
and Pertamina sign MoU on biorefining cooperation”, 21/9/2018.
Figure 1. Pertamina ends
partnership with Eni to process palm oil into HVO
According to Reuters, Pertamina’s chief
executive told a parliamentary committee that Eni required internationally
recognised certification for palm oil, in line with European Union moves to
curb the use of palm oil as a transport fuel, even though the oil would have
been processed in facilities located in Indonesia.
A year ago, Eni and Pertamina signed a Memorandum
of Understanding to cooperate in the areas of circular economy and renewable
energies. One of the terms of the agreement included the establishment of a
joint venture dedicated to the construction of a biorefinery within an existing
complex in Indonesia. Now, Pertamina has decided to terminate this cooperation
and replace it with a new partnership with UOP. Technical or financial details
about the dissolution of the agreement with Eni and the new accord with UOP
were not disclosed.