Indonesia state oil company PT Pertamina will start producing 3,000 barrels per day of 'green' diesel made from 100% palm oil starting in June next year, CEO Nicke Widyawati told Parliament on Monday.
Pertamina plans to gradually increase output to 6,000 bpd, Widyawati said, without specifying a timeline.
Indonesia currently mandates that all diesel contain 30% bio content (B30) made up of fatty acid methyl ester (FAME).
The new product, also referred to as "B100" will be produced in Pertamina's Cilacap newly converted biorefinery, Widyawati said.
Instead of using FAME, B100 will made using hydrogenated vegetable oil made out of palm.
(Reporting by Bernadette Christina Munthe; Writing by Fathin Ungku; Editing by Kim Coghill)