Indonesia identifies 21 downstream industry projects with a total investment of $40 billion

The Minister of Energy and Mineral Resources revealed that the government has finalized 21 first-phase downstream industry projects with a total investment of $40 billion (about Rp 659.2 trillion) to be funded by the National Energy Investment Authority (BPI Danantara).The projects cover a number of strategic areas, including hydrocarbons, mining, agriculture and maritime, with major projects including the construction of an oil storage facility on the island of Nipa to improve national energy security, with the goal of meeting the 30-day national demand required by presidential decree. An oil refinery with a capacity of 500,000 barrels per day will also be constructed to ensure a stable domestic energy supply and reduce import dependency. In the area of coal gasification, the goal is to developdimethyl ether(DME) to replace imported liquefied petroleum gas (LPG), which will be developed in parallel in South Sumatra, East Kalimantan and South Kalimantan, using an approach that relies on domestic resources and not on foreign investors. There will also be increased value addition in the mining sector such as copper, nickel and bauxite, with fisheries, agriculture and forestry also a priority for downstream industries. President Prabowo has identified 26 commodity sectors as the country's downstream industry priorities. The downstream industries are expected to create a large number of jobs as well as generate national revenue growth and economic growth. The government has planned 28 commodities for downstream promotion, which is expected to bring in huge revenues and jobs.