Pertamina biogas pilot
State oil company Pertamina signed an MoU with CRecTech to pilot a biogas-to-biomethanol facility inside an Indonesian special economic zone, targeting palm-based energy feedstocks (x.com). The agreement frames biomethanol as a potential pathway toward local fuel options and energy sovereignty (x.com).
Pertamina New & Renewable Energy signed a memorandum of understanding on April 1 to study a pilot plant that would turn biogas into biomethanol at Sei Mangkei in North Sumatra. (bioenergy-news.com) The Indonesian company is partnering with Singapore-based CRecTech, and the first step is a joint feasibility study rather than a final investment decision. Indonesia Business Post reported the agreement is non-binding at this stage. (crectech.net) (indonesiabusinesspost.com) The site is the Sei Mangkei Special Economic Zone, an industrial area the Indonesian government markets for palm oil processing, chemicals and logistics in North Sumatra. CRecTech said the pilot would be tied to Pertamina’s Sei Mangkei biogas power plant. (kek.go.id) (crectech.net) Biogas is methane-rich gas released when organic waste rots without oxygen. In this case, the planned feedstock is palm oil mill effluent, the liquid waste left after palm fruit is processed. (gasworld.com) (jawawa.id) Biomethanol is methanol made from biological carbon instead of fossil gas, and it can be used as a chemical feedstock or fuel. The International Renewable Energy Agency has identified shipping and road transport as two of the main markets for renewable methanol. (irena.org) That helps explain why Pertamina and CRecTech are talking about more than one factory. CRecTech said its catalytic system is designed to convert lower-quality biogas streams on site, and Pertamina said Sei Mangkei is one of several locations in its portfolio with large feedstock potential. (crectech.net) (jawawa.id) Methanol is also drawing interest in shipping, where vessel owners are looking for fuels that can cut emissions without waiting for entirely new port systems. DNV said in December 2025 that more than 450 methanol-capable vessels were already operating or on order. (dnv.com) The palm link also puts the project in a contested part of the energy transition. Transport & Environment warned in a February 2025 briefing that weak sustainability rules at the International Maritime Organization could open the door to more palm- and soy-based biofuels in shipping. (transportenvironment.org) Pertamina has framed the MoU as a way to use domestic waste streams for higher-value fuel production, while CRecTech said the pilot could move to commercial scale if the study is positive. For now, the deal is a test of whether palm waste in one Indonesian industrial zone can be turned into a local methanol supply. (bioenergy-news.com) (crectech.net)