Indonesia to Develop Coal-to-DME Project at Bukit Asam Site

Government Pushes Forward with Hilirisasi Initiative

The Indonesian government is moving forward with plans to develop a coal-to-dimethyl ether (DME) project, with PT Bukit Asam Tbk (PTBA)'s area being a prime candidate for the location. This hilirisasi initiative aims to reduce the country's reliance on imported LPG by leveraging its abundant coal reserves.

Key Details of the DME Project

• The project will utilize coal gasification technology to produce DME
• PTBA is being encouraged to participate as a key player
• The initiative is expected to provide a cheaper energy source for Indonesia's future needs
• The project aligns with the government's strategy to maximize the value of domestic natural resources

Government's Vision and Implementation

Wakil Menteri Investasi dan Hilirisasi Todotua Pasaribu stated that PTBA is one of the entities being pushed to join the DME project. The government sees this as a crucial step in reducing LPG imports and creating a more sustainable energy mix. The exact location within PTBA's operational area is still being finalized, but the proximity to existing infrastructure makes it an attractive site.