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Business Profile

  

LINE OF BUSINESS

The Company's business activities in accordance with the Articles of Association No. 25 dated January 19, 2011 paragraph 3 include

 

MANUFAKTURING

Processing certain raw materials into basic materials needed for the production of fertilizers, petrochemicals, agrochemicals, agroindustries, and other chemicals; and processing these basic materials into various types of fertilizers and other chemical products and their derivative products In addition to the production of fertilizer and Ammonia products, Pupuk Kaltim also produces plant utilities, such as steam, electricity, and demineralized water to meet the Company's industrial needs. In order to support business sustainability and strengthen its position in the manufacturing business, Pupuk Kaltim has a specific plan to expand its business in the field of methanol processing. This is marked with a blueprint for a new processing unit and industrial land preparation in Pupuk Kaltim industrial area.

 

TRADING

Running the distribution and trading of urea, ammonia, fertilizer products, petrochemicals, agrochemicals, agroindustries, and chemicals both domestically and internationally including imports of raw materials, supporting materials, fertilizer production equipment, and chemicals. In addition, to ensure and guarantee the industrial cycle of goods production for consumers, Pupuk Kaltim runs pre-marketing activities in all marketing lines. Corporately, this policy makes trading of raw materials for fertilizers a part of corporate business activities.

 

SERVICES

Conducting research, education, development, engineering design, bagging stations, construction, manufacturing, plant operation management, repair, maintenance, consulting (except legal consulting), and other technical services in the fertilizer, petrochemical industries, agrochemical, agroindustry, and other chemical industries and services in agriculture and plantations sectors. In the service sector, Pupuk Kaltim does research and development consisting of the development of products, technology to plant maintenance services. The research on product development enables Pupuk Kaltim to develop new products that will be marketed through the retail market. In the field of plant maintenance services, Pupuk Kaltim continues to take part through the sale of services and equipment. The focus of Pupuk Kaltim's services business has grown with the implementation of precipalm, which is the management of smart farming solutions to improve agricultural efficiency and land productivity.

 

BUSINESS DEVELOPMENT

2015 : The Operation of Plant 5

Plant 5, which began construction in 2011, was inaugurated on November 19, 2015 by the President of the Republic of Indonesia, Joko Widodo. With the operation of this plant, Pupuk Kaltim has a production capacity of Urea Plant and Ammonia Plant of 3.435 million tons per year and 2.740 million tons per year, respectively. The spirit of high dedication continues to bring out the best work for this nation. Pupuk Kaltim owns five Urea plants, five Ammonia plants, three NPK Blending plants, one NPK Fusion plant, and one Coal Boiler plant.

 

2015 : The Construction of Coal Warehouse

In order to meet the needs and maintain the continuity of the steam supply for Plant 5 which has been operating since 2015, Pupuk Kaltim has built a coal warehouse with a capacity of 30,000 tons which began in 2015 and completed its construction in 2016. The construction of the Coal Warehouse is aimed to accommodate the needs of steam in several plants so that the reliability of coal boiler can be guaranteed properly.

 

2016 : The Construction of Rail Mounted Harbor Crane at Pier-4 (Tursina)

In order to support and speed up the loading and unloading rate process at Pier-4, Pupuk Kaltim has added a facility of Rail Mounted Harbor Crane (RMHC) with a capacity of 500 MTPH which was built from 2014 to 2016. The construction was carried out due to observing the Company's future development with several new plants so that the facilities to speed up the loading and unloading rate process at Pier-4 needed to be improved.

 

2017: The Construction of Urea Bulk Storage (UBS) VI

The construction of the Urea Bulk Storage (UBS) VI Warehouse with a capacity of 100,000 tons and equipped with conveyor system facilities had been carried out since 2015 and completed in 2017. The warehouse construction was built to meet the storage needs of Pupuk Kaltim urea fertilizer, especially due to additional production from Pupuk Kaltim's newest plant, namely Plant 5 which has a capacity of 2,740 million tons per year and was inaugurated by the President of the Republic of Indonesia in 2015.

 

2018-2020: Palm Oil Mill Construction Project

The development of new products and businesses was carried out by down-streaming products based on oil palm plants. The Company through its subsidiary PT Kalimantan Agro Nusantara (Kalianusa), which is a joint venture with PT Perkebunan Nusantara XIII, built a Palm Oil Mill with a capacity of 30 tons of fresh fruit bunches (FFB)/hour which produces crude palm oil (CPO) of 40,000 tons per year in Rantau Pulung District, East Kutai Regency which started in 2018 and was commercialized in 2020.

 

2020-2021: The Construction of NPK Bulk Raw Material Warehouse

In order to fulfill operational support and maintain the continuity of raw materials for the NPK Plant, the Company has currently been building a bulk raw material warehouse with a capacity of 45,000 tons for the storage of bulk KCL and bulk DAP raw materials equipped with conveyor facilities from the Pier to the Warehouse. The implementation of the warehouse project was effective on January 17, 2020 and is targeted to be completed in 2021.

 

2020-2022:  The Ammonium Nitrate Plant Development Project

The development of new products and businesses is carried out by diversifying natural gas-based products, namely ammonia into nitric acid and ammonium nitrate. The Company through its subsidiary PT Kaltim Ammonium Nitrate (KAN), which is a joint venture with PT Dahana Investama Corp (a subsidiary of Dahana), signed a contract on 18 December 2019 for the construction of a Nitric Acid Plant with a capacity of 60,000 MTPY and an Ammonium Nitrate plant with a capacity of 75,000 MTPY in the area of PT Kaltim Industrial Estate (KIE) which is targeted for completion in 2022.