Oman’s Overseas Oil and Gas (OOG) is investing USD 15 billion to build a new oil refinery and petrochemical plant in Bontang, East Kalimantan in Indonesia, together with a consortium of partners. The government of Oman will provide financial support for the project. It is estimated that the 300,000-barrel-per-day refinery project will be operational in 2025-26.
OOG is managing the project with Indonesia’s state-owned oil gas company, PT Pertamina which controls 10% of the project, while OOG controls the remaining 90%. PT Pertamina will also supply 20% of the crude requirement.
OOG is also in discussions with Cosmo Oil International, a trading unit of Japan’s Cosmo Energy Holdings, and is expected to soon reach the final stages. It is actively looking for other investors too.
OOG has signed a MoU with Indonesia-based PT Sanurhasta Mitra Tbk and PT Meta Epsi Tbk to support this project. They will be assisting in the development of power stations, pipe Infrastructure and water treatment valued at USD 3 billion.
(Sources: Antaranews; Reuters)
