VIVAnews – The Bojanegara refinery operation in Banten will be delayed by two years, as per the planned operation in 2013, to 2015 due to the stalled funding schedule from 2009 to 2010.
Banten Bay Refinery’s president director Rudi Radjab said that the South Korean company STX Pan Ocean Co. Ltd. has offered a loan to fund the project. However, the consortium that works in this project, consists of Pertamina, National Iranian Oil Refining&Distribution Company, and Petrofield Inc. refused the offer.
The refusal was based on the reason that the STX requested for the majority ownership of the project. “Pertamina wants to be the major [shareholder],” Radjab said in Jakarta on Thursday, Oct. 15.
The company is still trying to find a US$2.8 billion loan, equivalent to 70 percent of the total investment. The total budget to construct the refinery is estimated to reach US$4 billion.
He explained that the best solution for the funding issue is to find an alternate loan. “There are two interested companies,” he said.
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Translated by: Ariyantri E. Tarman
