olefin market
TRANSCRIPT
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POTENTIAL MARKET CONSIDERATION
Petrochemical industry on olefin base is prospective for investors especially in theirupstream and intermediate industries.
Intermediate and downstream Industries of petrochemical in Indonesia such asplastic products, pharmacy, detergent, and others are numerous. These mostly needethylene, prophylene, ethylene glycol, and polyethylene as raw material.
Domestic market potential for upstream olefin is still widely open. Projected demand
of elefin in 2010, amounted to :- Ethylene : 400.000 ton/year;
- Prophylene : 203.000 ton/year
- Polyethylene : 190.000 ton/year
- Ethylene Glycon : 403.000 ton/year
Potential export is also widely open
Petrochemical Industry will be granted fiscal facility under Government Regulation No.1 year 2007
See detail data
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Forec ast PRODUCTION - LOCAL DEMAND OF ETHYLENE
IN 2006 - 2010
0
200000
400000
600000
800000
1000000
2006 2007 2008 2009 2010
( T o n s )
Production
Local Demand
-411.947-388.820-424.245-439.232-356.606Balance +/-
896.947867.340852.533836.812855.925Local Demand
485.000478.520428.288397.580499.320Production
20102009200820072006Forecast
IMPORT - EXPORT OF ETHYLENE IN
2006 - 2010
0
100000
200000
300000
400000
500000
600000
2006 2007 2008 2009 2010
Years
( T o n s )
Export
Import
-513.745-498.467-483.637-469.252-455.270Balance +/-
530.100514.660499.670485.116470.987Import
16.35516.19316.03315.87415.717Export
20102009200820072006Forecast
Projected demand of ethylene in 2010 is amounted to 896.947 ton which could not be fulfilled yet domestically. Domestic
production is only 485.000 ton. The rest should be imported.
DEVELOPMENT OF PETROCHEMICAL INDUSTRY IN OLEFIN
BASIS
1. ETHYLENE
Petrochemical Promotion and Investment Profile, Ministry of Industry 2006, edited
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PRODUCTION - LOCAL DEMAND OF PROPYLENE
IN 2000 - 2005
0
100000
200000
300000
400000
500000
600000
2000 2001 2002 2003 2004 2005
( T o n s )
Production
Local Deman-80.701-142.275-195.264-119.574-98.837-142.653Balance +/-
445.622494.515535.264456.574426.491470.616Local Demand
364.921352.240340.000337.000327.654327.963Production
200520042003200220012000(Tons)
IMPORT - EXPORT OF PROPYLENE
IN 2000 - 2005
0
50000
100000
150000
200000
250000
2000 2001 2002 2003 2004 2005
( T o n s )
Export
Import
-80.701-142.275-195.264-119.574-98.837-142.653Balance +/-
80.701142.581195.264122.77498.838157.753Import
030603.200115.100Export
200520042003200220012000(Tons)
2. PROPYLENE
Domestic demand of propylene is higher than domestic production.
Petrochemical Promotion and Investment Profile, Ministry of Industry 2006, edited
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Forecast PRODUCTION - LOCAL DEMAND OF PROPYLENE
IN 2006 -2010
0
200000
400000
600000
800000
1000000
1200000
1400000
2006 2007 2008 2009
( T o n s )
Production
Local Demand
-203.000-177.000-271.000-374.000Balance +/-
1.213.0001.155.0001.059.000972.000Local Demand
1.010.000978.000788.000598.000Production
2009200820072006
Forecast IMPORT - EXPORT OF PROPYLENE
IN 2006 -2010
0
50000
100000
150000
200000
250000
300000
350000
400000
2006 2007 2008 2009
Years
( T o n s )
Export
Import
-203.000-177.000-271.000-374.000Balance +/-
203.000177.000271.000374.000Import
0000Export
2009200820072006
Projected demand of propylene until 2009 is amounted to 1.213.000 ton, which is supplied locally 1.010.000 ton. The rest
amounted to 203.000 ton should be fulfilled from import.
Continue 2. Propylene…..
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PRODUCTION - LOCAL DEMAND OF POLYETHYLENE
IN 2000 - 2005
0
200000
400000
600000
800000
2000 2001 2002 2003 2004 2005
( T o n s )
Produc tion Local Demand
-230.643-245.858-171.279-143.630-97.990-62.064Balance +/-
691.270690.908601.279578.630505.990471.708Local Demand
460.627445.050430.000435.000408.000379.664Production
200520042003200220012000(Tons)
IMPORT - EXPORT OF POLYETHYLENE
IN 2000 - 2005
0
50000
100000
150000
200000
250000
300000
2000 2001 2002 2003 2004 2005
Years
( T o n s ) Export
Import
-23.643-245.858-171.279-143.630-97.990-62.064Balance +/-
267.979267.793217.028216.266190.800183.491Import
37.33621.93545.74972.63692.810121.427Export
200520042003200220012000(Tons)
3. POLYETHYLENE (PE)
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Forecast PRODUCTION - LOCAL DEMAND OF POLYETHYLENE IN 2006 -2010
0
100000
200000
300000
400000
500000
600000
700000
800000
2006 2007 2008 2009 2010
Years
( T o n s )
Production
Local Demand
-191.814-188.762-184.015-182.411-190.979Balance +/-
741.814738.762709.015682.411660.979Local Demand
550.000550.000525.000500.000470.000Production
20102009200820072006
Forecast IMPORT - EXPORT OF POLYETHYLENE
IN 2006 -2010
0
50000
100000
150000
200000
250000
300000
350000
2006 2007 2008 2009 2010
( T o n s )
Export
Import
-434.958-410.334-387.105-365.190-344.521Balance +/-
435.011410.387387.158365.243344.569Import
5353535348Export
20102009200820072006
continue 3. Polyethylene…..
Projected demand of polyethylene in 2010 is amounted to 741.814 ton which could not be fulfilled yet
domestically. Domestic production is only 550.000 ton. The rest should be imported.
Petrochemical Promotion and Investment Profile, Ministry of Industry 2006, edited
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PRODUCTION - LOCAL DEMAND OF ETHYLENE GLYCOL
IN 2000 - 2005
0
100000
200000
300000
400000
500000
600000
700000
2000 2001 2002 2003 2004 2005
( T o n s )
Production
Local Demand
-158.224-191.272-211.124-324.011-389.129-385.596Balance +/-
360.049386.272401.253504.061568.579625.196Local Demand
201.825195.000190.129180.050179.450239.600Production
200520042003200220012000(Tons)
IMPORT - EXPORT OF ETHYLENE
GLYCOL IN 2000 - 2005
0
100000
200000
300000
400000
500000
2000 2001 2002 2003 2004 2005
Years
( T o n s )
Export
Import
-158.224-191.272-211.124-324.011-389.129-385.596Balance +/-
261.496257.337276.623384.283430.721416.718Import
103.27266.06565.49960.27241.59231.122Export
200520042003200220012000(Tons)
4. ETHYLENE GLYCOL
Domestic demand of Ethylene Glycol is higher than domestic production.
Source : Ministry of Industry, 2006 edited
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Forecast PRODUCTION - LOCAL DEMAND OF ETHYLENE
GLYCOL IN 2006 -2010
0
100000
200000
300000
400000
500000
600000
700000
2006 2007 2008 2009 2010
( T o n s )
Production
Local Demand
-403.361-390.459-377.882-365.629-360.575Balance +/-
612.361599.459585.882573.394566.075Local
Demand
209.000209.000208.000207.765205.500Production
20102009200820072006
Forecast IMPORT - EXPORT OF
POLYETHYLENE IN 2006 -2010
0
100000
200000
300000
400000
500000
600000
2006 2007 2008 2009 2010
( T o n s )
Export
Import
-403.361-390.459-377.882-365.629-360.575Balance +/-
500.244481.005462.504444.715427.611Import
96.88390.54584.62279.08667.036Export
20102009200820072006
Projected demand of Ethylene glycol in 2010 is amounted to 612.361 ton which could not be fulfilled yet domestically.
Domestic production is only 209.000 ton. The rest should be imported.
Lanjutan 4. Ethylene Glycol…..
Petrochemical Promotion and Investment Profile, Ministry of Industry 2006, edited
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MAP OF OLEFIN INDUSTRY IN INDONESIA
BANTEN1. Chandra Asri Petrochemical Complexs, PT.(550.000 tpa ethylene dan 243.000 tpa propylene)
2. Tri Polyta Indonesia,PT. (380.000 tpa polypropylene)
3. Petrokimia Nusantara, PT.(250.000 tpa polyethylene)
4. Asahimas Subentra Chemical, PT. (400.000 tpa vinyl chloride monomer dan 285.000 tpa polyvinyl chloride)
5. Salim /BP Chemical (700.000 tpa)**
6. Statomo Indovyl Monomer,PT. (100.000 tpa vinyl chloride monomer dan 70.000 tpa polyvynyl chloride)*7. Standart Toyo Polymer (84.000 tpa polyvinyl chloride)
JAWA TIMUR
1. Trans PasiFic Petrochemical Indotama (TPPI),PT. (700.000 tpa ethylene dan 300.000 tpa polyethylene)**
2. Siam Maspion Polymer,PT. (100.000 tpa polyvnyl chloride) *
SUM. SEL.
1. Pertamina, PN. ( 320.000 tpa propylene dan 45.000 tpa polypropylene)
JAWA BARAT
1. Polytama Propindo, PT. (100.000 tpa polypropylene)
Ket :
* Under construction
** Under preparation
DKI JAKART A1.Eastern Polymer, PT.(50.000 tpa polyvinyl chloride)
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Australia
Cepu
3.8 MBSD
Balikpapan
260 MBSD
Musi
135.2 MBSD
Dumai
120 MBSD
Pangkalan Brndan
5 MBSD
Sungai Pakning
50 MBSD
EXOR I, Balongan
125 MBSDCilacap
348 MBSD
Kasim
10 MBSD
Source : Ministry of Industry
Raw Material : Oil Refinery In Indonesia
Total Produksi :
1,057 MBSD
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NATURAL GAS REFINERY UNIT IN
INDONESIA
Source : BP Migas
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Irian Jaya
ACEH
Malaysia
Australia
Sumatera Utara
Sumatera Selatan
Jawa Barat
Jawa Timur
Jawa Tengah
Kalimantan Timur
Sulawesi Selatan
1.109,35
323,88
72,98
221,6
5.705,08
748,45
1.236,74100,96
Sumatera Tengah
1. Total = 9.826 MMSTB (2002)
2. R / P = 17 Tahun
: Oil reserved (MMSTB)
Oil Reserved
POTENTIAL RAW MATERIAL OF PETROCHEMICAL INDUSTRY
(CRUDE OIL RESERVE)
Source : BP Migas
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POTENTIAL LABOR
• The Government of Indonesia guarantees the availability of skilledlabor on petrochemical industry. It is supported by 6 well-knownuniversities in Indonesia such as University of Indonesia, in
Province of DKI Jakarta, University of Diponegoro in di Province ofCentral Java, University of Gajah Mada in Province of Yogyakarta,Intitute Technology of Bandung in Province of West Java, InstituteTechnology of Surabaya in Province of East Java, University ofSumatera Utara in Province of North Sumatera, etc which isamounted to + 1.000 per year;
• The other university and vocational training centre for petrochemical
industry is also available amounted to 2.000 people per year.