THE REPORT OF VISITING PERTAMINA RU V BALIKPAPAN WITH JX OIL AND GAS COMPANY

(17-18 DECEMBER 2015)

A. ATTENDANCE

PPT ENERGY TRADING - JAKARTA : Mr.Bianto Mr.Ach Farid Wadjdi

JX Nippon Oil amd Gas Company : Mr.Mashihiro Makino PERTAMINA RU V BALIKPAPAN RPO TEAM Mr. Muhammad Saifullah (RPO Manager) Mr.Syarif Husain Mr. Marsudiyana Mr. Irianto

PERTAMINA TRANS KONTINENTAL Mr. Hari Waluyo

B. MEETING AGENDA:

1. Explanation about flow process of LSWR V-1250 2. Explanation about shipping operation in Pertamina RU V Balikpapan 3. Plant and Laboratory Visit

C. MEETING RESULTS:

1. General

- Introduction of PPT Energy Trading ( The history of PPT Energy in Pertamina and also

PPT Energy Trading position in terms of LSWR V 1250 Ex Balikpapan.

- The purpose of visiting RU-V is to introduce JX Asia as end buyer of LSWR V 1250 Ex

Balikpapan and also to discuss about LSWR V 1250 production process, the quality,

the temperature, the loading operation mechanism and lastly site visit to CDU , VDU

, Jetty and Laboratory.

2. LSWR V-1250 BALIKPAPAN FLOW PROCESS

-

- Problem that often occurs when loading LSWR V 1250 from tank to ship is high

temperature of LSWR. This problem caused by sun’s heating. To fix this problem, when

loading LSWR,Pertamina team has to do the mixing between LSWR of tank with high

temperature with another tank that has a lower temperature. Also they decrease the

pump-rate.

- Another problem is the high number of Sulfur content (around 0.35). The explanation

from Pertamina team is refers to the contract. Because in the contract the limit for

sulfur content is 0.35. So Pertamina think that it’s not their problems.

HVU III

25 MBSD

CDU V

60 MBSD

L.R.

FLUX OIL

30 mbsd

TANK I

TANK III

TANK IV

TANK II

HVU III

81 MBSD

CDU IV

200 MBSD

L.R. TANK II

TANK III

TANK I

S.R.

LSWR S.R.

S.R.

1200

C

75-800

C

600

C

60 MB

60 MB

60 MB

60 MB

60 MB

60 MB

60 MB

Static Mixer

Domestic Crude

Import Crude

N

O

R

T

H A

R

E

A

S

O

U

T

H

A

R

E

A

- The different number of sulfur content is caused by the different of crude feed. So we

can’t ask Pertamina to maintained the sulfur content in one number. The just can

maintained as percontract maximal 0.35.

3. SHIPPING OPERATION

- LSWR only be produced when there will be a lifting schedule. Before the scheduled

lifting, Short Residue from Vacuum Unit will only be stored in the form of Short Residue

without blend with Flux Oil.

- The main problem for shipping operation is the delay for ship time arrival. It will disturb

the other agenda of loading.

- The biggest problem causing by delay time arrival is because their LSWR Tank is limited.

So it can make them decrease the CDU Capacity Process. It means that they will lost

profit.

4. PLANT AND LABORATORY VISIT

The team of Pertamina invites us to visiting their plant and laboratory. We asked about how

to measure the sulfur and viscosity. At this time, Makino-san were satisfied with the

equipment and the explanation process in the lab Pertamina.