Puma Energy, a global oil company, aims to build new oil terminals in Balikpapan, East Kalimantan. The plan is rolled out on top of the company’s recent acquisition of Medco Sarana Kalibaru (MSK), the fuel storage and distribution unit of Medco Energy Internasional — Indonesia’s largest listed oil and gas company. “
Puma Energy, a global oil company, aims to build new oil terminals in Balikpapan, East Kalimantan. The plan is rolled out on top of the company's recent acquisition of Medco Sarana Kalibaru (MSK), the fuel storage and distribution unit of Medco Energy Internasional — Indonesia's largest listed oil and gas company.
“In a few months, we will announce new investments,” said Robert Jones, Puma Energy chief operating officer for Asia Pacific and Middle East. “We think Indonesia is a very good place to invest in. Here in the region, it has huge amount of opportunity.”
The seaport city, located in East Kalimantan province, is already home to one of state-owned Pertamina's 6 oil refineries. East Kalimantan is rich in natural resources and has supported some of the world's largest oil, gas, and coal companies, including Chevron, Total, and Schlumberger.
Coal production in Indonesia is forecasted to hit 400 million metric tons this year, a 5% fall from 420 million metric tons in 2013, according to data from the energy and mineral resources ministry.
However, China and India as two of the world's biggest coal buyers, may boost demand from coal producers.
The Asian Development Bank's Asia's Energy Challenge Report in 2013 predicted that Asia's demand for coal will double in 2035, from about 2000 million metric tons of oil equivalent (mtoe) in 2014 to nearly 4000 mtoe.
The mineral generates roughly 40% of the world's electricity and is a vital component in the manufacturing of steel and cement.