Tempo are reporting that Indonesian state-owned oil and gas company Pertamina has partnered with China’s energy company, Sinopec, to accelerate their efforts in energy transition and expand global business development opportunities.
“Amid the challenges posed by climate change and energy transition, collaboration with partners is crucial to address these issues and accelerate Pertamina’s business growth through knowledge and technology transfer,” Pertamina President Director, Nicke Widyawati, said in a statement on Monday (13/11/23.)
Tempo say that the partnership was marked by the signing of a Memorandum of Understanding (MoU) between Nicke Widyawati and Sinopec Group chairman, Ma Yongsheng, in Shanghai last week.
The MoU covers various business activities, ranging from upstream, downstream, and renewable energy, to human resource development.
In the upstream sector, Pertamina and Sinopec will expand their collaboration in the development of unconventional hydrocarbons, carbon capture utilization and storage (CCUS), enhanced oil recovery (EOR), and ultra-deep drilling, report Tempo.
“This includes strengthening research and development programs as well as upstream business development,” Nicke explained.
Meanwhile, the downstream collaboration includes fuel and non-fuel businesses, lubricants, aviation, petrochemicals, as well as transportation and logistics.
Tempo report that as part of the renewable energy collaboration, both parties would explore the potential for developing geothermal energy, hydrogen, and solar power.
“There is also an agreement to increase capacity on both sides,” Nicke added.
Previously, Pertamina’s subsidiary, Pertamina Hulu Energi, had signed an agreement with Sinopec. Hence, Nicke hoped that this cooperation could strengthen the ties between the two energy companies.