BALIKPAPAN, thekabarnews.com—Indonesia’s government and state-owned energy company Pertamina are completing technical work at the Balikpapan Refinery Development Master Plan (RDMP) as the strategic project moves closer to fully integrated operation.

Coordinating Downstream and Energy Transition Minister Bahlil Lahadalia inspected the refinery with Pertamina executives and regional officials on Thursday, Oct. 22. The visit assessed the refinery’s operational readiness and fuel stocks across Kalimantan.

“Together with the regional government and Pertamina management, we are monitoring the situation and finding solutions to several technical constraints. Consequently, energy operations and distribution to the public remain secure,” Bahlil said.

Bahlil put overall project progress at 99 percent. However, he said operators still needed to complete several technical adjustments and commission new equipment.

“God willing, we will complete the remaining work so that the refinery can further strengthen the national energy supply,” he said.

The 99-percent figure refers to overall project completion. It should not be interpreted as confirmation that every new unit has entered continuous commercial operation.

President Prabowo Subianto inaugurated the integrated RDMP infrastructure on Jan. 12, but Pertamina continued commissioning and starting individual units in stages.

PT Kilang Pertamina Balikpapan reported in August that the Residual Fluid Catalytic Cracking unit was undergoing operational testing. The process involved pipeline inspections, equipment trials and instrument calibration before the units could function as one integrated system.

The national strategic project will raise the refinery’s crude-processing capacity from 260,000 to 360,000 barrels per day. At the same time, it is designed to increase the refinery’s Nelson Complexity Index from 3.7 to 8.0. This will allow it to process a wider range of crude oil into higher-value products.

Pertamina says the upgraded refinery will produce fuels equivalent to the Euro V standard, replacing its previous Euro II-level output. The project carries a listed investment value of approximately US$7.44 billion.

Pertamina Patra Niaga, Deputy President Director I Taufik Aditiyawarman said government coordination would help the company complete the remaining work. In addition, it would help prepare supporting infrastructure.

“We continue to coordinate with the government and all stakeholders to strengthen the Balikpapan RDMP,” Taufik said.

“This shared support is essential so that the refinery can improve the reliability of fuel supplies for the public and support national energy independence.”

Pertamina Corporate Communication Vice President Muhammad Baron said the company would maintain its focus on workplace safety as it prepared the facility for optimal operation.

“With strong collaboration and by continuing to prioritize workplace safety, we are working to prepare the refinery to support Indonesia’s energy security,” Baron said.

The government expects the additional refining capacity to reduce Indonesia’s reliance on imported fuel. However, the project’s actual effect on imports will depend on sustained production and crude availability. It will also depend on domestic demand after all units achieve stable operation.

Completing construction is therefore only one milestone. The final test will be whether the expanded Balikpapan refinery can operate safely at its intended capacity. Furthermore, it must consistently deliver higher-quality fuel to the domestic market.