The Indonesian government has urged Pertamina, the state-owned oil and gas company, to complete the Refinery Development Master Plan (RDMP) in Balikpapan, East Kalimantan, by July 2025. This ambitious project aims to bolster domestic oil production, aligning with President Prabowo Subianto's vision of energy self-sufficiency.

Currently, the Balikpapan refinery processes 260,000 barrels of oil per day (BOPD). Upon RDMP completion, it is expected to increase capacity by 100,000 BOPD, reaching a total of 360,000 BOPD. This significant expansion is set to meet domestic energy demands and reduce reliance on imports. The refinery is also transitioning to produce fuel compliant with Euro 5 standards, elevating its product quality and environmental sustainability.

Energy Minister Bahlil Lahadalia emphasized the project's role in securing Indonesia's energy independence. During a recent site visit, he acknowledged delays caused by a fire incident in May but expressed optimism as construction progress has reached 91%. Supporting infrastructure, such as the Lawe-Lawe crude oil terminal and a 78-km gas pipeline from Seinpah to Balikpapan, will ensure stable operations and an efficient supply chain.

The RDMP is part of Indonesia's National Strategic Projects and contributes to diversifying the country’s energy mix. As of mid-2024, coal dominates at 39.48%, followed by oil (29.90%), natural gas (16.69%), and renewable energy (13.93%). By 2050, projections suggest a reduction in oil's share to 20%, with natural gas increasing to 24%.

The Nelson Complexity Index (NCI) of the Balikpapan refinery is expected to rise to 8 upon RDMP completion, enabling it to produce a broader range of products and enhancing its competitiveness in the global market. This marks a major leap in Indonesia's refinery capabilities, ensuring long-term energy security.

The RDMP Balikpapan's completion will not only increase production but also align with Indonesia's sustainable development goals, fostering economic growth while reducing environmental impact. By 2025, the fully operational refinery will symbolize a milestone in Indonesia's journey towards energy self-reliance.