Business Profile

Line Of Business

In Articles of Association
In 2019, the Company has conducted business in accordance with Paragraph 3 of the Article
of Association no. 25 dated August 30, 2011, the Company’s line of businesss include:

Manufacturing
Processing certain raw materials into basic materials needed for the production of fertilizers,
petrochemicals, agrochemicals, agro-industries, and other chemicals; and processing these basic materials into various types of fertilizers and other chemical products along with 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 internal industrial needs. In order to support business sustainability and strengthen its position in the manufacturing business, Pupuk Kaltim has a specific plan to process methanol. The plan is marked with a blueprint for a new processing unit and a designated space for industrial land in Pupuk Kaltim industrial complex.

Trading
Running distribution and trade of urea, ammonia, fertilizer products, petrochemicals, agrochemicals, agro-industries, 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 the consumers, Pupuk Kaltim runs pre-marketing activities in all marketing lines. Corporately, this policy makes trading of fertilizer raw materials a part of corporate business activities.

Service
Conduct research, education, development, engineering design, bagging stations, construction, manufacturing, management of plant operations, repair or repair, maintenance, consulting (except legal consulting), and other technical services in the fertilizer, petrochemical industries, agrochemical, agro-industry, and other chemical industries and services in agriculture and plantation sectors.
In the service sector, Pupuk Kaltim does research on product development, technology, to factory maintenance services. The research on product development allows Pupuk Kaltim to develop new products that will be marketed to the retail markets. In the field of plant maintenance services, Pupuk Kaltim continues to take part through services and equipment. The focus of Pupuk Kaltim’s service 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

NPK Chemical Plant Development Project
In order to support the Strategic Plan of the Ministry of Agriculture in terms of intensification of agricultural land and plantations to maintain food sovereignty, and also the government encouragement to convert the use of single fertilizer into compound fertilizer, Pupuk Kaltim plans to build a NPK Chemical Plant with a capacity of 500,000 MTPY.
Phosphoric Acid and Sulfuric Acid Plant Development Project
The development of Phosphoric Acid Plant and Sulfuric Acid was executed to meet the need of raw materials from NPK Chemical factory. The construction of the plant is done through Joint Venture Company (JVC) scheme of PT Kaltim Jordan Abadi as a form of Pupuk Kaltim cooperation with JPMC. The capacity of Phosphoric Acid Factory is 200,000 tons per year and the capacity of Sulfuric Acid Factory is 300,000 tons per year.
Ammonium Nitrate Plant Development Project
At present, Pupuk Kaltim has ammonia excess of 700,000 tons per year. Therefore, to increase the added value of ammonia, Pupuk Kaltim plans to build ammonium nitrate factory with a capacity of 150,000 tons per year. The construction of the ammonium nitrate plant is executed by PT Kaltim Amonium Nitrat (KAN), which is a joint venture between Pupuk Kaltim and PT Dahana.
Industrial Land Preparation
In accordance with the long-term plan and to ensure the company’s sustainability, Pupuk Kaltim needs to continually develop its business. To support the company's plan, it is considered necessary to prepare an industrial land that covers the North Land Industrial Estate, South Kaltim-5 land and East Tursina land.

Main Product and Protection Unit

The primary products of Pupuk Kaltim are:

NPK Chemical Plant Development Project

Ammonia
Ammonia is used as a raw material in the chemical industry. Ammonia produced by Pupuk Kaltim is marketed as liquid product at -33 ° C with a minimum purity of 99.5% and a mixture (impurity) with up to 0.5% water content. Ammonia is formed from natural gas raw which is reacted with air and water vapor and gradually processed at high temperature and pressure through several catalysts-containing reactors.

Urea
Urea, also called nitrogen (N) fertilizer, has a nitrogen content of 46%. Urea is produced through a reaction process between ammonia (NH3) and carbon dioxide (CO2) in a chemical process to form solid urea in the form of prill (size 1-3,35 mm) or granules (size 2-4.75 mm). Prill urea is widely used for food crops and the industrial segments, while granular urea is more suitable for the plantation and industrial segments.
White non-subsidized urea is marketed and sold under Daun Buah brand, while pink subsidized urea is marketed under the brands of Pupuk Indonesia Holding Company.

NPK
NPK Fertilizer produced by Pupuk Kaltim consists of two types, namely NPK Blending and NPK Fusion. NPK is made in various compositions, according to the needs of plants and soil types. This type of fertilizer contains three macro nutrients that are needed by plants. NPK raw materials in the form of urea, DAP (Diammonium phosphate)/RP (Rock phosphate), KCl (Potassium chloride), and other materials in the form of high quality micronutrients. Subsidized NPK fertilizer is marketed and sold under NPK Phonska Brands managed by Pupuk Indonesia Holding Company. Meanwhile, the NPK Pelangi brand is used for NPK Blending in the non-subsidized sector and the Pelangi Agro brand for NPK Fusion in the nonsubsidized sector.

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