PT Pertamina and Indonesia's MIND ID mining holding have signed a strategic partnership to accelerate the downstreaming of coal into alternative energy sources replacing LPG. The collaboration supports President Prabowo Subianto's Asta Cita vision for achieving national energy independence through gasification technology. The signing took place on Friday, January 9, 2026, in Jakarta.
The partnership between PT Pertamina (Persero) and MIND ID aims to bolster national energy resilience by leveraging domestic resources. Through gasification, coal is converted into Synthetic Natural Gas (SNG), which is then processed into Dimethyl Ether (DME) as an LPG substitute. This step is expected to reduce reliance on LPG imports, with the Ministry of Energy and Mineral Resources projecting national consumption at 10 million metric tons in 2026, while domestic production stands at only 1.3-1.4 million metric tons.
The strategic agreement was signed in the presence of BPI Danantara's Chief Technology Officer Sigit Puji Santoso. Sigit P. Santosa stated, “Strategic collaboration and synergy among state-owned enterprises can strengthen the national energy foundation. Technology-based downstreaming is a key instrument for optimizing domestic resource utilization while building a more resilient, efficient, and long-term oriented energy system.”
Pertamina's President Director Simon Aloysius Mantiri highlighted the company's role as an offtaker and distribution aggregator. “As the backbone of national energy, we are committed to optimizing Pertamina's distribution infrastructure to support this downstreaming through collaboration with MIND ID. This is a concrete step in reducing dependence on LPG imports and ensuring more affordable energy is available to the people, in line with the government's energy self-sufficiency targets,” he said.
Meanwhile, MIND ID's President Director Maroef Sjamsoeddin added that the initiative strengthens the domestic mineral and energy value chain. “Through collaboration with Pertamina, MIND ID is committed to promoting downstreaming that adds economic value, reduces import dependence, enhances competitiveness, creates new jobs, and strengthens national energy resilience in the long term,” he noted.
The partnership also covers methanol and SNG production, with Pertamina ensuring effective distribution to communities and industries.
