ESSA EYES MAJOR ROLE FOR INDONESIA IN LOW CARBON FUTURE WITH BLUE AMMONIA COMMITMENT
Jakarta, 19 March 2021 – PT Surya Esa Perkasa Tbk. (IDX: ESSA) (“ESSA”) is pleased to announce it has signed a Memorandum of Understanding on Carbon Capture, Utilization and Storage (CCUS) for Blue Ammonia Production in Indonesia.
Signed on 18 March 2021, ESSA’s subsidiary PT Panca Amara Utama (“PAU”) shall work to develop low-carbon Ammonia production in Indonesia, also known as Blue Ammonia, with Japan Oil, Gas and Metals National Corporation (“JOGMEC”), Mitsubishi Corporation (“MC”) and Institut Teknologi Bandung (“ITB”).
Ammonia is currently used as a raw material for fertilizers, plastics and chemicals around the world. In recent years, Ammonia’s role as a fuel of the future has grown considerably due to its high hydrogen content, zero CO2 emissions during combustion, and proven delivery logistics. ESSA plans to use CCUS technology to realize Blue Ammonia production at its Banggai Ammonia Plant in Banggai, Central Sulawesi.
ESSA President Director and Chief Executive Officer, Mr. Vinod Laroya, said:
“We are undeniably invested in developing a sustainable future and are honored to work with partners with a strong track record and a like-minded commitment to the environment. Our Banggai Ammonia Plant represents the first application of the world’s latest ammonia technology, putting Indonesia at the forefront of Ammonia production. We hope that with this collaboration, the Company paves the way for Indonesia to play a leading role in providing fuels of the future, starting with Blue Ammonia.”
-Joint Press Release attached-
Signing of Memorandum of Understanding Regarding Carbon Capture Storage Joint Study For Blue Ammonia Production In Indonesia
On March 18 2021, PT Panca Amara Utama (“PAU”), together with Japan Oil, Gas and Metals National Corporation (“JOGMEC”), Mitsubishi Corporation (“MC”) and Institut Teknologi Bandung (“ITB”) signed a Memorandum of Understanding (“MOU”) to develop low-carbon Ammonia production in Indonesia, also known as Blue Ammonia. The MOU covers each party’s role and scope in a joint feasibility study which shall be conducted over the next year with the aim to realize Blue Ammonia Production at PAU’s Ammonia Plant in Luwuk, Banggai, Central Sulawesi, Indonesia.
Ammonia is currently used as a raw material of fertilizers, plastics, and chemicals around the world. In recent years, Ammonia’s role as a next generation clean energy source has grown considerably due to its high hydrogen content, zero CO2 emissions during combustion and proven delivery logistics. PAU plans to use Carbon Capture, Utilization and Storage (CCUS) technology to realize Blue Ammonia production.
As one of the newest and most efficient Ammonia plants in the world, PAU is ideally placed to help achieve the Government of Indonesia’s reduction of CO2 emissions target. With Indonesia announcing a 29% reduction of CO2 emissions by 2030 and Japan announcing to become carbon neutral by 2050, PAU, JOGMEC and MC, together with ITB are confident that this partnership shall create benefits for both Japan and Indonesia in providing affordable and clean energy, creating new opportunities for economic growth, and a realizable path towards a sustainable future.
1. PT Panca Amara Utama (PAU)
|Location||DBS Bank Tower 18th Floor, Jl. Prof. Dr. Satrio Kav. 3-5 Jakarta 12940, INDONESIA|
|Business Description||Production and sales of ammonia in Luwuk,Banggai, Central Sulawesi, Indonesia|
|Representative||President Director & Chief Executive Officer : Vinod Laroya|
|Establishment||June 21, 2004|
2. Japan Oil, Gas and Metals National Corporation (JOGMEC)
|Location||2-10-1 Toranomon Twin Building, Toranomon, Minato-ku, Tokyo, Japan|
|Business Description||Contribute to the health, lives and development of Japan and its citizens by supporting the development of and/or securing a stable and low cost supply of oil, natural gas, coal, geothermal energy, nonferrous metal, mineral resources and supporting mine pollution control measures|
|Representative||Chairman & Chief Executive Officer : Tetsuhiro Hosono|
|Establishment||February 29, 2004|
3. Mitsubishi Corporation (MC)
|Location||2-3-1, Marunouchi, Chiyoda-ku, Tokyo, Japan|
|Business Description||Natural gas, industrial materials, petroleum & chemicals, mineral resources, industrial infrastructure, automotive & mobility, food industry, consumer industry, power solution and urban development|
|Representative||President and Chief Executive Officer : Takehiko Kakiuchi|
|Establishment||July 1, 1954|
4. Institut Teknologi Bandung (ITB)
|Location||Jalan Ganesa No.10, Bandung, West Jawa, Indonesia|
|Business Description||A state-owned university of science and technology that plays an important role in the CCS and CCUS (carbon capture, utilization and storage) initiatives in Indonesia since 2010. In order to conduct CCS and CCUS activities in Indonesia, ITB works together with the Directorate General of Oil and Gas (DG Oil and Gas) of Indonesia’s Ministry of Energy and Mineral Resources, the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), Ministry of Environment and Forestry and oil and gas companies such as Pertamina, etc. ITB is a member of IEAGHG. ITB is very active in promoting and conducting technical review of CCS and CCUS.|
|Representative||Rector : Prof. Reini Wirahadikusumah, Ph.D|
|Establishment||March 2, 1959|