Asia
29 April 2026
Feasibility study on Indonesian biomethanol project
Written by Richard Hands
Pertamina New & Renewable Energy (NRE) has signed a memorandum of understanding (MoU) with CRecTech to explore the development of a pilot biogas-to-biomethanol facility in the Sei Mangkei Special Economic Zone (SEZ) in Sumatra, Indonesia. CRecTech is a Singapore-based clean technology company that converts carbon-based gases into high-value chemicals and fuels through its proprietary CRecREF™ catalytic technology.
CEO of Pertamina NRE, John Anis, says that this collaboration forms part of the company’s strategy to accelerate the development of clean energy based on local resources: “This collaboration represents a concrete step by Pertamina NRE in accelerating the utilisation of biogas into higher value-added products such as biomethanol. Indonesia holds significant potential, both in terms of market demand and feedstock availability – particularly from palm oil waste, which has yet to be fully optimised. Through our partnership with CRecTech and its innovative technology, we are confident in building a competitive and sustainable green fuel value chain. Moving forward, we hope this initiative will not stop at the pilot stage but can be scaled up to a larger commercial level, delivering tangible impact on the development of Indonesia’s green energy ecosystem,” he said.
Via the partnership, Pertamina NRE and CRecTech will conduct a joint study to evaluate the feasibility of developing a pilot biogas-to-biomethanol facility in the Sei Mangkei SEZ. Should the study yield positive results, the collaboration will proceed with the deployment of CRecTech’s CRecREF™ catalytic technology at the Sei Mangkei Biogas Power Plant. Indonesia possesses significant biogas potential, especially from the palm oil industry through the processing of palm oil mill effluent (POME). Pertamina NRE has identified several locations within its portfolio, including Sei Mangkei, with large-scale feedstock availability.
