Danantara Indonesia Launches 13 More Downstreaming Projects Worth US$6.68 Billion

RRI.CO.ID, Cilacap – An Indonesian sovereign wealth fund agency, Danantara Indonesia, held the groundbreaking ceremony for the second phase of national downstreaming projects in Cilacap Regency, Central Java, on Wednesday, April 29, 2026. It consists of 13 projects in the energy, mineral, and agriculture sectors, worth around Rp116 trillion (equivalent to about US$ 6.68 billion).

"Downstreaming" has become an Indonesian term for the strategy of converting raw resources into finished or semi-finished products. First coined by Indonesia's previous president, Joko "Jokowi" Widodo, the strategy is based on the idea that the country's natural resources should be processed at home before exporting to other countries.

Among the 13 projects launched on Wednesday are a coal-to-dimethyl ether (DME) processing facility in South Sumatra and asphalt production in Southeast Sulawesi, both to be built to reduce imports. Other projects include the construction of a gasoline refinery in Riau and a palm oil processing facility in North Sumatra.

The ceremony was held in a facility owned by state-owned energy company Pertamina. At the location, one of the projects, a gasoline refinery facility, will be built.

Before inaugurating the projects, Indonesia’s President, Prabowo Subianto, said one of the defining traits of a nation striving for independence is the ability and courage to control and process its own resources. He believes that downstreaming is the only path to achieving prosperity from the nation's wealth.

"So, ladies and gentlemen, one form of courage is a nation’s courage to control its resources and process those resources within its own country. Downstreaming is the only way for us to become more prosperous," he said.

Prabowo Subianto expressed his gratitude to everyone involved in realizing the projects, including the Downstreaming Task Force at Danantara Indonesia. He also instructed the task force to assess technological developments continuously and to remain objective and scientific in their approach.

“Even if this project has been planned and we conducted a feasibility study a year ago or six months ago, if today there are technological developments – if we can obtain better, cheaper technology that delivers greater benefits to the people – we must have the courage to change our plans,” he said.

CEO of Danantara Indonesia, Rosan Roeslani, said that the launch of these downstreaming projects is part of a three-phase plan, with a total of 30 projects to be implemented across Indonesia. Earlier, the first phase began in February 2026 with 13 projects worth 110 trillion rupiah, equivalent to 6.3 billion US dollars.

"We are currently planning the third phase, which already includes six national downstreaming projects. So in total, there will be 30 national downstreaming projects that we expect will continue to develop and progress," Rosan said.

"We will do this as the beginning of a major leap for Indonesia as a nation that is not only rich in natural resources, but also sovereign in its processing, superior in production, and prosperous in its results," he said in closing his speech, believing that downstreaming is one of the country's "wealth machine".