Danantara Breaks Ground on USD7 Billion Indonesia Downstream Projects

Jakarta: Indonesia’s sovereign wealth manager Danantara on Friday launched six downstream projects worth a combined USD7 billion across 13 regions.

This project aimed at boosting industrialization, job creation, and economic growth.

The groundbreaking ceremony, conducted simultaneously from Jakarta, marked the first phase of 18 priority projects under Danantara’s downstream development program, Chief Executive Officer Rosan Roeslani said, as quoted from Antara, Saturday 7 February 2026.

“These projects are not only about investment, but also job creation, regional development, and national economic growth,” Rosan told reporters.

The first phase includes two bauxite-processing projects in Mempawah, West Kalimantan, and Kuala Tanjung, North Sumatra, with a total investment of around USD3 billion.

Other projects include a bioethanol plant in Glenmore, East Java, with annual production capacity of 30,000 kiloliters; a biorefinery in Cilacap, Central Java, producing up to 6,000 barrels per day of sustainable aviation fuel; integrated poultry facilities across several provinces; and salt processing plants in East Java to expand PT Garam’s output by 380,000 tons annually.

Rosan said all projects have completed feasibility studies and are expected to accelerate Indonesia’s downstream industrial strategy and reduce reliance on raw material exports.

The USD7 billion investment, equivalent to around Rp110 trillion, is expected to strengthen Indonesia’s energy security, food supply, and industrial base.