PT Panca Amara Utama (“PAU”) is setting up a 700,000 metric tons per annum (MTPA) capacity greenfield ammonia plant in Batui District, Banggai Regency, Central Sulawesi, Indonesia (“Project”). The project represents a large commitment from the Sponsors to prioritize local manufacturing of the country’s natural resources into industrial products, and support the development of the manufacturing sec
tor in Eastern Indonesia. PAU will be the first ammonia plant in Sulawesi and the second privately-owned plant in Indonesia. Natural gas for the plant will be supplied by Senoro-Toili gas fields, operated by JOB Pertamina-Medco E&P Tomori Sulawesi. Construction of the new plant, which will cost USD 830 million to build, began in mid-2015 and is expected to begin operations in late 2017. PT Rekayasa Industri, a national contractor, has been appointed as sole EPC Contractor for the project
PAU has also received debt financing for the project as arranged by the International Finance Corporation (“IFC”, member of the World Bank Group). The syndication includes seven international banks such as ANZ, HSBC, KDB, OCBC, SMBC, Standard Chartered and UOB. IFC will also take an equity position in PAU in the form of a subordinated loan. This represents the IFC’s largest greenfield project funding in Asia over the last decade. Technology for the plant has been licensed from Kellogg Brown & Root (USA), and PAU will be the first in the world to apply KBR’s patented KRES + Purifier technology, thereby increasing Indonesia’s access to leading edge Technology. PT Panca Amara Utama (PAU) is a 60% subsidiary of Indonesia’s largest private LPG refiner, PT Surya Esa Perkasa Tbk. (ticker: ESSA).
