Indonesia's state-owned oil and gas firm PT Pertamina said it would collaborate with PT Arrtu MegaEnergie (AME) to build two methanol factories worth 1.9 billion U.S. dollars to supply domestic needs, a paper said in Jakarta on June 26.
"We expect that the plant will begin production in 2012 at the latest," Pertamina's trading and marketing director Achmad Faisal quoted by the Jakarta Post as saying in Jakarta.
AME president Christoforus Richard said construction of the two factories in Indramayu in West Java province and in Peranap of Riau province would start in September.
The two factories would have a total capacity of 1.7 million tons a year, the president said.
He said that Pertamina will have a production share of 20 percent or 340,000 tons.