DistantNews
Support us
๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Economy & Trade

Pupuk Kaltim Completes Ammonia Plant-2 Revamp, Ready for Full Operation

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Sources not specified Outcome reported
  • PT Pupuk Kalimantan Timur (Pupuk Kaltim) has completed the modernization of its Ammonia Plant-2, successfully passing a 168-hour performance test.
  • The revamp reduced energy consumption by 4.03 MMBTU per ton of ammonia and is projected to save $14.3 million annually.
  • The project increases production capacity by 4.18% and is expected to lower carbon emissions by 110,000 tons of CO2 per year, strengthening national fertilizer supply and energy efficiency.

PT Pupuk Kalimantan Timur (Pupuk Kaltim) is set to fully operate its Ammonia Plant-2 after successfully completing a 168-hour performance test from August 13-19, 2026. The plant's modernization, or "revamping," has significantly reduced energy consumption while boosting ammonia production capacity.

Company CEO Rafli Yandra stated that all operational parameters were met during the tests, paving the way for full operations soon. "The success of this modernization is a stepping stone for the company to strengthen the reliability of the national fertilizer supply while improving energy efficiency and industrial decarbonization," Rafli said in a written statement. The revamp cut energy use from 39.28 to 35.25 Million British Thermal Units (MMBTU) per ton of ammonia. This efficiency gain is expected to save up to $14.3 million, or approximately Rp228 billion, in production costs annually.

Beyond cost savings, the modernized plant demonstrated improved performance, producing an average of 1,841 tons of ammonia per day during testing, a 4.18% increase from the previous 1,767 tons per day. This enhanced capacity bolsters the availability of ammonia, a key raw material for urea production at Pupuk Kaltim. Environmentally, the energy efficiency improvements are projected to reduce carbon emissions by approximately 110,000 tons of CO2 per year.

The modernization included updating critical technologies such as the shift converter, ammonia converter, and CO2 removal system, along with implementing a Distributed Control System (DCS) for real-time process monitoring. This project marks the first completion among seven revitalization commitments by Pupuk Indonesia Group over the next five years, supported by Presidential Regulation No. 113 of 2025.

DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.