Indonesia’s Pertamina Eyes Lithium Battery Market

Photo caption: Herutama Trikoranto, PT Pertamina’s SVP Research & Technology Center gave statement about company’s commitment on becoming pioneer of battery lithium producer in Indonesia - Photo by Pertamina

JAKARTA (TheInsiderStories) Indonesia’s energy producer, PT Pertamina aims to be the biggest lithium battery producer in the country, said one official on Thursday (11/29). For that planned, the company is now preparing a storage system.

Pertamina’ SVP Research and Technology Center, Herutama Trikoranto, explains, “Pertamina will aggressively initiate battery development, especially for vehicles. It aims to support renewable energy as a primary energy source.”

He said, that higher oil and gas energy-needs encourages the production of alternative energy for the future. Moreover, electric vehicle production is increasing and it’s entry into Indonesia is one of the examples for alternative energy use.

Recently, a French company, Total S.A., spent US$1 billion buying the battery plant. Total purchased the factory due it its confidence that the world’s energy sources will change by 2050. Total isn’t alone in it’s sentiment, a Thailand company also recently did the same thing, to prepare future sources of energy.

Pertamina has also prepared and transformed for renewable energy development. The state-owned firm is now co-operating with some research institutions to study battery industry challenges, such as lithium ion battery capacity and its security aspect.

“Pertamina has also stated its commitment to develop battery energy storage and wishes to have strategic partners that can initiate the business in Indonesia,” said Trikoranto.

Pertamina will prepare green energy stations to serve people. According to plan, Pertamina’ retail outlet also plans to provide battery charging. He stressed that Pertamina will be at the frontline of serving people, so people can charge their motorcycles’ battery in the outlet.

Six Blocks of Gas Source Exploration

Pertamina also will initiate a joint-study for developing six new gas blocks, located off the coast of Aceh, East Natuna and three other locations in Kalimantan and Papua provinces.

“We will do joint-study for six blocks across Indonesia. Funding needed for seismic has been prepared. To develop this, we need a partner,” said Pertamina’s Upstream Director Dharmawan Syamsul at the same day.

The energy producer is now preparing the Indonesia Gas Balance Program for 2018-2027 in three scenarios. First is evaluating the existing contract. Second, Pertamina will consider gas demand for electricity that’s projected to grow by 5.5 percent. While the third is a combination of both, considering the industry’s high demand.

Syamsul added that there will be a new equilibrium between gas supply and demand in 2027 so Pertamina expects to be prepared for that period of time.