Indonesia's state owned Pertamina has signed an advanced payment agreement with Java Petroleum Investment Co. Ltd. (Japic) to finance construction of the $1.8 billion EXOR-1 refinery at Balongan on West Java's northeast coast.
The contract will allow release of funds to build the 125,000 b/d refinery, about 250 km east of Jakarta, which its backers claim will have the world's largest residue catalytic cracking (RCC) complex of its kind.
Scheduled for 1994 start up, EXOR-1 is being developed by an Anglo-Japanese engineering and construction group made up of Foster Wheeler Corp., Clinton, N.J., the BP Group of the U.K., and JGC Corp. and Mitsui Engineering & Shipbuilding Co. Ltd., both of Japan.
EXOR-1 will process Indonesian heavy crude to produce gasoline, kerosine, gas oil, diesel fuel, LPG, propylene, and decant oil.
Japic has arranged for 100% of project financing to come from a syndicate of 21 Japanese banks led by Industrial Bank of Japan. A joint venture of Foster Wheeler and JGC will handle engineering, procurement, and construction.
Foster Wheeler will provide process design and detailed engineering of the RCC complex, a crude distillation unit, and a hydrogen unit.
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