Indonesia invites Iran to invest in refinery business
The government has called on Iran to invest in Indonesia’s oil refinery projects as the oil-rich country can supply local refineries from its reserves, The Jakarta Post reported.
"We have asked [Iran] to invest either in Bontang refinery [in East Kalimantan] with [state-owned oil and gas firm] Pertamina or establish its own refinery as we already allow 100 percent [foreign] ownership in the business," Energy and Mineral Resources Ministry director general for oil and gas IGN Wiratmaja Puja said on Monday.
The request, Wiratmaja said, had been conveyed last week to a visiting Iranian delegation led by Communications and Information Technology Minister Mahmoud Vaezi.
Wiratmaja added that Indonesia currently bought liquefied petroleum gas (LPG) from Iran and was also planning to buy crude oil from there as well.
"Should Iran invest in refineries here, it can supply the refineries with its crude oil," he said.
Previously, the government successfully invited Saudi Arabia’s Aramco to invest in the Cilacap refinery revitalization project in Central Java. After the plant begins its operations in 2022, Aramco will supply most of its crude oil.