Hydrexia and Samator partner to develop Indonesia’s hydrogen market

Hydrexia and Samator partner to develop Indonesia's hydrogen market

Hydrexia, a hydrogen specialist based in Singapore, has entered into a memorandum of understanding with PT Samator, a prominent Indonesian industrial gas company. This partnership aims to establish hydrogen purification, transport, and storage solutions in Indonesia, capitalizing on the increasing local demand and potential export opportunities within the Asia-Pacific region.

Under the terms of the agreement, Hydrexia will provide the necessary equipment for hydrogen purification, transportation, and storage, while Samator will distribute these solutions to industrial clients. Both companies aim to build a robust domestic hydrogen infrastructure that will support Indonesia’s future hydrogen economy and facilitate export capabilities. The financial details of the agreement have not been disclosed.

Hydrexia, a subsidiary of Shanghai-listed Hydrexia Holding Limited, has extensive experience in the hydrogen value chain, having implemented solutions in various markets including Australia, Japan, Europe, and the Americas. Its Singapore operations target Southeast Asia, where hydrogen demand could reach 1 million tons annually by 2030. The company’s offerings include purifiers, tube trailers, and solid storage systems designed to reduce logistics costs.

PT Samator, established in 1916, commands a strong presence in Indonesia’s industrial gas sector with 70 production and filling facilities. Currently, Samator supplies hydrogen to sectors such as refineries and glass production, and aims to expand its services into transportation and power generation. With its extensive distribution network, Samator intends to facilitate the adoption of new industrial applications and align with government initiatives to cut energy expenses.

Rachmat Harsono, Samator’s chief executive, expressed confidence in the partnership, stating that their collaboration with Hydrexia will enable them to deliver optimal solutions to the market.

In the initial phase of this partnership, the companies plan to establish a pilot tube-trailer filling unit near Surabaya by the end of the year. This facility will test Hydrexia’s proprietary metal hydride packaging technology under local conditions. The findings from this pilot will inform the development of mobile infrastructure for industrial sites lacking pipeline access. Additionally, joint studies will assess the feasibility of an export corridor to Singapore, utilizing existing gas terminals.

The Indonesian Ministry of Energy and Mineral Resources anticipates national hydrogen demand will reach 18,000 tons annually by 2027, driven largely by the decarbonization efforts in steelmaking and fertilizer production. Alex Fang, CEO of Hydrexia, highlighted the advantages of partnering with a strong local entity, allowing for quick mobilization of resources and expertise.

The companies plan to discuss a definitive agreement that will cover licensed manufacturing and technology transfer in the near future. Their investment timeline will depend on the outcomes of these discussions.