Russia’s Rosneft, Pertamina to build petrochemical plant

MOSCOW, Oct 5 (PRIME) -- Russian state-owned oil major Rosneft and Indonesia’s Pertamina have signed an agreement to establish a joint venture to build a refining and petrochemical facility Tuban on the Java Island, Rosneft said in a statement Wednesday.

Rosneft will own 45% in the joint venture, and Pertamina will have a 55% stake. The agreement also defined key conditions for supplies of Rosneft’s hydrocarbons to the facility and regulations for sales of the facility’s production. The two companies are now conducting a feasibility study for the project.

Rosneft and Pertamina signed a framework agreement to cooperate in construction of an oil refinery in the town of Tuban in May. The crude processing capacity is projected at 15 million tonnes of oil annually.

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