JAKARTA, Indonesia, Oct. 7, 2013 /PRNewswire/ -- UOP LLC, a Honeywell company (NYSE:HON), announced today that it will help PT Pertamina (Persero), the national oil and natural gas company of Indonesia, develop a master plan to modernize the state-owned company's refineries.
Honeywell's UOP, a recognized global leader in refining and petrochemical technology, will develop a recommendation, called a "bankable feasibility study," for the modernization of Pertamina's five largest refineries, an effort partially funded by a $1.07 million grant from the U.S. Trade and Development Agency (USTDA). The project was announced at a signing ceremony at Pertamina's headquarters in Jakarta.
"Our company has specialized in the design and modernization of refineries around the world for nearly 100 years, working to derive the maximum value from every drop of oil," said Rajeev Gautam, president and CEO of UOP. "We have worked with Pertamina for more than four decades, and have recently established an office in Jakarta to expand our presence in Indonesia and better serve Pertamina and the region."
Karen Agustiawan, president director of PT Pertamina, said, "Pertamina recognizes the need to modernize its refining infrastructure to meet the rising demand for energy and petrochemical products in Indonesia, while strengthening national oil security and reducing our nation's reliance on imports."Agustiawan said the company is evaluating plans for a centralized terminal for crude imports as well as upgrading the company's five main refineries to allow them to process heavier, lower-quality crude oil. The refineries to be studied are Balikpapan, East Kalimantan; Cilacap, Central Java; Dumai, Riau; Plaju, South Sumatra, and Balongan, West Java. The company also operates a sixth smaller refinery in West Papau with a capacity of 10,000 barrels per day. Pertamina's total refining assets have a capacity of nearly 1 million barrels per day. The company's last new refinery was built in 1994 in West Java. The company recently completed a feasibility study for a seventh refinery, which the company hopes to complete and open in 2018. Pertamina is Indonesia's largest state-owned enterprise, active in both upstream and downstream sectors of the oil and gas industry. Honeywell's UOP has been involved in the Indonesian oil and gas industry for more than 40 years and has licensed many of the technologies currently used in Pertamina refineries. In 1972, Pertamina installed a UOP semi-regen Platforming unit at the Dumai Refinery in Sumatra, followed by the licensing of six UOP CCR Platforming process units, which use naphtha feedstocks to produce high-octane gasoline and valuable petrochemicals for further processing. In 1994, UOP introduced the world's largest Reduced Crude Conversion (RCC) process unit, which directly converts heavy residual feedstocks into lighter transportation fuels, at the Balongan Refinery in Balongan, West Java. UOP also has a sales and service office in Jakarta. UOP LLC, headquartered in Des Plaines, Ill., is the leading international supplier of catalysts, adsorbents, equipment and process technology for the petroleum refining, gas processing, petrochemicals and renewable energy industries. The company has developed some of the most innovative and productive technology in the hydrocarbon industries. UOP is a wholly-owned subsidiary of Honeywell International, Inc. and is part of Honeywell's Performance Materials and Technologies strategic business group. For more information, go to www.uop.com. Honeywell is a Fortune 100 diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; turbochargers; and performance materials. Based in Morris Township, N.J., Honeywell's shares are traded on the New York, London, and Chicago Stock Exchanges. For more news and information on Honeywell, please visit www.honeywellnow.com. This release contains certain statements that may be deemed "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, that address activities, events or developments that we or our management intends, expects, projects, believes or anticipates will or may occur in the future are forward-looking statements. Such statements are based upon certain assumptions and assessments made by our management in light of their experience and their perception of historical trends, current economic and industry conditions, expected future developments and other factors they believe to be appropriate. The forward-looking statements included in this release are also subject to a number of material risks and uncertainties, including but not limited to economic, competitive, governmental, and technological factors affecting our operations, markets, products, services and prices. Such forward-looking statements are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by such forward-looking statements. We identify the principal risks and uncertainties that affect our performance in our Form 10-K and other filings with the Securities and Exchange Commission. SOURCE Honeywell
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts