Marubeni Corporation (hereinafter, “Marubeni”) is pleased to announce that Marubeni signed a Memorandum of Understanding (hereinafter, “MOU”) with PT Pertamina (Persero) (hereinafter, “PT Pertamina”), an Indonesian state-owned enterprise engaged in integrated energy in Indonesia, on comprehensive collaboration to develop decarbonization projects in Indonesia.

As measures to counter global climate change become increasingly important, reducing greenhouse gas (hereinafter, “GHG”) emissions has become an urgent issue. Under these circumstances, PT Pertamina and Marubeni are promoting Carbon dioxide Capture, Utilization & Storage (hereinafter, “CCUS”) as an effective measure to mitigate global climate change.

Through this MOU, PT Pertamina and Marubeni will work on joint development of a wide range of decarbonization projects, including a Bioenergy with Carbon Capture and Storage (hereinafter, “BECCS”) project at Marubeni's pulp mill in Indonesia (*1), producing biomass fuel, and creating carbon credit from such projects.

PT Pertamina has committed to contributing to the Indonesian government's 2060 carbon neutrality target (*2) by reducing GHG emissions by 30% compared to 2010 and developing 10.2-gigawatt renewable energy facilities by 2026.

Marubeni is enhancing its climate change strategy through the development of CCUS projects to achieve the Marubeni Long-Term Vision on Climate Change announced in March 2021, and is committed to contributing to the sustainable and economic development of Indonesia through these joint development activities with PT Pertamina.

(*1) Marubeni initiated investing in PT Tanjungenim Lestari Pulp & Paper ("TEL") in South Sumatra in 1995 and to PT Musi Hutan Persada ("MHP"), a forest plantation company adjacent to TEL, in 2003. Through this integrated production process from wood to pulp, Marubeni has consistently aimed to supply more sustainable and environmentally friendly pulp to customers mainly in Asia for decades. The BECCS project under consideration will be a new initiative to aim for a carbon-negative pulp production process.

(*2) In July 2021, the Indonesian government submitted a long-term decarbonization strategy, including achieving carbon neutrality in 2060, to the Secretariat of the United Nations Framework Convention on Climate Change (UNFCC) to promote both economic growth and decarbonization.

<Overview of Each Company>
Company	：	PT Pertamina (Persero)
Location	：	Republic of Indonesia, Jakarta
Representative	：	Nicke Widyawati (President Director)
Establishment	：	1968
Capital	：	USD 16 Billion
Business	：	Oil & Gas
Company	：	PT Tanjungenim Lestari Pulp & Paper
Location	：	Republic of Indonesia
		Headquarters: Jakarta / Mill: Muara Enim (South Sumatra)
Representative	：	Hiroyuki Moriyasu
Establishment	：	1990 (Commencement of Operation: 2000)
Business	：	Production and Sales of Hardwood Pulp
Company	：	PT Musi Hutan Persada
Location	：	Republic of Indonesia, Muara Enim (South Sumatra)
Representative	：	Yasuharu Nakabayashi
Establishment	：	1991
Business	：	Hardwood Plantation and Pulp Wood Supply

<Related News Release>
・Mar. 09, 2021
“The Marubeni Long-Term Vision on Climate Change: Towards Net-Zero GHG Emissions”
https://www.marubeni.com/en/news/2021/release/00022.html

<Forest Plantation and Pulp Production Business>