Celanese and Pertamina form US$2.5 billion JV in Indonesia

Texas-based Celanese Corp. said it may spend up to US$2.5 billion, together with state-owned PT Pertamina, on a joint venture that will process low-grade coal into ethanol.
“The location of the project will likely be in Kalimantan,” said Panggah Susanto, director general of the Industry Ministry, after a meeting with Celanese Senior Vice President for Corporate Affairs Mark Oberle and Vice President for Commercial and Business Development James T. Jones.
Construction will begin at the end of the year and production is targeted to begin by 2016, Susanto said. The plant will convert as much as 4 million metric tons of coal into 1.3 billion liters of ethanol annually.
Indonesia is focusing on alternative energy as a means to reduce its reliance on petroleum. (January 15, 2013)