By Calvin Purba
PT Pupuk Kaltim (PKT), a subsidiary of the state-owned fertilizer company PT Pupuk Indonesia (Persero), will begin construction of a soda ash plant in Bontang, East Kalimantan Province, in the first half of this year.
"In the first half of this year, we will hold the groundbreaking ceremony. Progress is ongoing, and the land has already been prepared," said Anggono Wijaya, Vice President of Corporate Communications at PKT, during a media gathering on Saturday (Feb. 22).
PKT aims to complete the construction by 2027 or 2028. Previously, PKT had planned to complete the soda ash plant by 2025.
"The construction will take around two to three years," Anggono stated.
To develop this plant, PKT has appointed the TCC-ETI consortium, a partnership between PT TCC Indonesia Branch (China Tianchen Engineering Corporation) and PT Enrivomate Technology International. The EPC contract was signed earlier this month.
The soda ash plant will have a production capacity of 300,000 MTPA.
Read also : Pupuk Kalimantan in advanced negotiation to acquire Aussie fertilizer business
Anggono emphasized that this project is a strategic investment to support industrial growth and create added value. The entire investment for the plant’s construction will be funded by PKT.
"This project is 100% funded by PKT. Our main focus is to make a significant contribution to national industrial growth, promote downstream development in line with the government's vision, and reduce soda ash imports," Anggono told Petromindo.com.
Fertilizer plant
Regarding the construction of a new NPK fertilizer plant, named NPK-3, PKT is currently preparing the basic engineering design documents.
"NPK-3 is still in the basic engineering design preparation stage," Anggono told Petromindo.com.
In August 2023, Mustanginah, Vice President of Process and Energy Management at PKT, stated that NPK-3 was planned to begin operations in 2026. In November 2023, PKT launched a prequalification tender for the construction of the NPK-3 fertilizer plant.
Editing by Reiner Simanjuntak
