PALMOILMAGAZINE, LAMPUNG — Cargill officially inaugurated its new state-of-the-art palm oil refinery in Lampung on Tuesday (October 21, 2025). The US$200 million investment marks a major milestone in Cargill’s 50-year journey in Indonesia, significantly strengthening its capacity to supply sustainable palm oil to global markets across North America, Europe, and Asia.
The high-tech refinery is designed to process up to 3,000 metric tons of palm oil per day, with an annual refining capacity reaching one million metric tons. All palm oil processed at the facility is sourced responsibly and traceable, reaffirming Cargill’s commitment to transparency and sustainability throughout its supply chain.
Lampung Governor Rahmat Mirzani Djausal welcomed the investment, calling it a strong sign of investor confidence in Lampung’s potential as an investment-friendly province.
Also Read:
“This investment not only strengthens our industrial base but also creates jobs and supports sustainable regional economic growth,” Rahmat said in an official statement to Palmoilmagazine.com. “We appreciate our partnership with Cargill and look forward to continued collaboration for the progress of Lampung and Indonesia.”
Penne Kehl, Asia Pacific Group President of Cargill Agriculture and Trading, emphasized that the new Lampung refinery symbolizes Cargill’s long-term partnership with Indonesia.
“For five decades, we have grown alongside Indonesia. This investment marks a new era to build a more resilient, safe, and sustainable palm oil supply chain,” she said.
Also Read: Lampung Deputy Governor Inaugurates Palm Oil Mill to Boost Downstream Industry and Farmers’ Welfare
The facility features advanced wastewater treatment systems, efficient water management, and energy-saving technologies to minimize environmental impact while ensuring consistent product quality.
According to Azlan Adnan, Managing Director of Cargill’s Tropical Oils business, the Lampung refinery plays a vital role in the company’s integrated value chain from upstream to downstream.
“This refinery enhances traceability and supports rising global demand for sustainable palm oil. We are committed to balancing business growth with positive contributions to local communities,” he explained.
Beyond operations, Cargill continues to invest in community development programs around its sites. Through initiatives such as the Family Health and Environmental Awareness Program in Srengsem Village, the company promotes better public health, nutrition, and eco-friendly waste management practices — reinforcing its role as a responsible corporate partner in Indonesia’s sustainable development. (P2)
