January 25, 2026 | 10:06 am
TEMPO.CO, Jakarta – Plans to develop the Fakfak Fertilizer Industrial Zone came under scrutiny after the government decided to move it from its original site in Teluk Bintuni Regency, West Papua. Audit findings by the Supreme Audit Agency (BPK) and feasibility studies by an independent consultant pointed to fundamental problems, ranging from unsuitable land conditions and declining financial viability to the risk of cost overruns that could harm the state.
Project Profile
Fakfak Fertilizer Industrial Zone
Status: National strategic project
Groundbreaking: November 23, 2023
Project executor: Pupuk Kalimantan Timur
Location: Fior and Andamata Villages, Arguni District, Fakfak Regency, West Papua
However, Energy and Mineral Resources Minister Bahlil Lahadalia, in a speech marking Fakfak Regency’s 125th anniversary on November 16, 2025, stated that the project location would be moved to Tomage District, still within Fakfak Regency.
Land area: 2,000 hectares
Estimated investment value: US$1.6 billion
1.15 million tons of urea fertilizer per year
825,000 tons of ammonia per year
Budget realization: Rp250.9 billion*
*as of September 30, 2024
Financing scheme: 70% bank loans, 30% equity
Source: Supreme Audit Agency audit results
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