Pertamina boosts fuel imports following Balikpapan refinery fire

Pertamina will import 3 million barrels of diesel fuel for March shipment since repair works at the 260,000-barrel per day (bpd) Balikpapan refinery have not yet been completed. The head of Integrated Supply Chain, Rusnaedy, revealed that the import would be higher than the 2 million barrels imported in January 2010. Imports of diesel fuel surged by one million barrels in February following fires at Reboiler Hydrocracker A (HCC-A) at the Balikpapan refinery, which produces jet fuel, diesel fuel, and liquid petroleum gas (LPG). After the fire, Pertamina had lost production capacity equivalent to 2,240 bpd of diesel fuel, 1,200 bpd of jet fuel, and 50 tons per day of LPG. The fire has apparently had no impact on the crude distillation unit (CDU), although the hydrocracker’s shutdown could further affect the refinery’s profitability because of the hydrocracker’s importance in producing value-added lighter products, particularly as 30% of the facility’s output is low-value residue before the shutdown took place. (February 9, 2010)