Taiwanese investors are looking to invest $2.5 billion in Indonesia to build ammonia and methanol plants, the Indonesia Investment Coordinating Board, or Badan Koordinasi Penanaman Modal, said Thursday.
The first stage will see a 600,000 mt/year ammonia plant built while the second stage will see a 1.8 million mt/year methanol plant constructed, each on a 100-hectare site, Franky Sibarani, head of BKPM said.
He said the investors are looking for suitable locations and the availability of domestic natural gas supply.
Ammonia and methanol can be used to produce consumer and industrial textiles, engineering plastic, resin, rubber and acrylic fiber, he added.
A meeting between the investors and Indonesia's upstream regulator SKK Migas has been arranged, Mohamad Faizal, head of the Indonesian Commerce and Economy Body, or KDEI, in Taipei, said.
Currently, the only major methanol plant in Indonesia is operated by Kaltim Methanol Industri at Bontang with a production capacity of 660,000 mt/year.
