Skema Tolling Fee Agreement

Nicke Widyawati, Managing Director of PT Pertamina (Persero), has ensured that the company is still working with Aramco to build the refinery. It is right, says Nicke, that the extension of this cooperation is about the agreement of a new cooperation programme. As part of the toll agreement, Pertamina supplies raw materials, finances the processing process and receives products. While TPPI receives a fee for processing services. “Like people sewing clothes, we only accept the cost of sewing,” TPPI director basya Himawan said on Thursday. Nicke said, however, that the refinery construction process will not be disrupted. While project work, including land acquisition, is sought under the partnership program, it can be continued. In the meantime, the regime in question is the same as that adopted at the Balikpapan refinery. The Balikpapan refining system concerned is not relocated to existing refineries. This means that Pertamina and Aramco will build a new refinery. Pertamina`s opportunity to use toll agreements was negotiated by both parties. Please note that Pertamina offers a pricing agreement concept to solve problems.

Basya assured that TPPI is trying to find the best system to get back to work. Discussions are ongoing with a number of parties to supply raw materials or sell products. In addition to Pertamina, this meeting took place with several foreign companies. “Some have already put forward proposals,” he said. “So if Phase 1 is completed by the end of 2023, we will now have it by mid-2022,” he said. 2013- January: Appointment of a new government representative without a representative of Silakencana.- May: signing of the toll agreement with Pertamina-TPPI. – December: New management works tPPI. Nicke explained that the new cooperation program with Aramco would propose to Aramco to build a new refinery, although the area of the Cilacap refinery is still the same. “The possibilities for cooperation, as in Balikpapan, are building a new one.

The existing operation is maintained, but the system is the toll. It goes on,” Nicke said. KONTAN.CO. ID- JAKARTA. PT Pertamina and Saudi Aramco have reportedly reached an agreement on the system that will be used for the development of the Cilacap refinery. Pertamina does not deliberately pursue royalty cooperation. According to Ali, the petrochemical industry is lazy. The activity of aromatic products goes through a five-year cycle. “And now on the lowest price cycle, it`s less profitable,” Mundakir said.

Meanwhile, Fajriyah Usman, vice-president at Pertamina Corporate Communication, confirmed that the two sides were in talks after the agreement on the refining development program. “There are still discussions on tolls like in Balikpapan (refinery), said Fajriyah on Thursday (26/12). The Pertamina Cilacap Refinery project has a majority stake of 55% and Saudi Aramco owns 45%.