|Lampung province, Indonesia|
Asia Pulse. Three Indonesian investors are starting ethanol plant projects in Lampung province, each with an annual capacity of 150 million liters (40 million gallons US).
Two of the investors are Medco Energi and PT Malindo. The other investor is a sugar company, according to Research and Technology Minister Kusmayanto Kadiman.
The two other investors will process cassava roots to produce ethanol.
Separately, another local investor has been licensed to build a biodiesel factory in Dumai, Sumatra with an annual production capacity of 170 million liters (45 million gallons).
The government is encouraging the development of biodiesel from palm oil to provide an alternative source of energy.
Indonesia is, for the moment, a member of OPEC, but the first one to see it production peak and decline to the point where it is a net importer of crude.