Lion Group Opens Batam Aero Engine MRO Facility in Indonesia

Lion Group has officially commenced operations at its new Batam Aero Engine maintenance, repair, and overhaul (MRO) facility in Indonesia, aiming to capture a larger share of the Asian engine maintenance market and reduce domestic reliance on foreign service providers.

The facility, which opened on August 19, 2026, provides both on-wing and off-wing maintenance for jet engines, turboprop engines, and Auxiliary Power Units (APUs). The Launch was detailed in a press release issued by Lion Group on August 21, 2026, highlighting the company’s push to localize critical aviation supply chains.

Technical capabilities and infrastructure

Batam Aero Engine enters the market with specialized diagnostic and repair capabilities designed to service a variety of powerplants. According to the Lion Group press release, the facility is equipped to perform complex procedures including Low Pressure Turbine (LPT) module replacements.

The maintenance center also features advanced borescope inspection equipment. Certified personnel will utilize IPLEX NX, IPLEX GX/GT, and Mentor Flex systems to conduct internal engine diagnostics. These capabilities allow technicians to assess engine health and identify potential defects without requiring full engine teardowns, thereby reducing maintenance turnaround times for operators.

Strategic expansion in the Asian MRO market

The inauguration event in Batam drew key figures from both the company and Indonesian regulatory bodies, including Lion Group Founder Rusdi Kirana and Batam Mayor Dr. Amsakar Achmad. The strategic placement of the facility in Batam leverages existing industrial infrastructure and proximity to regional trade routes to attract maintenance contracts from across Southeast Asia-Pacific.

Lion Group President Director Captain Daniel Putut Kuncoro Adi emphasized the dual focus of the new enterprise.

“We hope this facility can serve domestic needs as well as friendly countries and further strengthen Indonesia’s aviation industry,” Adi stated, according to reporting by Aviation Business News.

Indonesian regulators also view the facility as a step toward greater self-sufficiency in the aviation sector. Sokhib Al Rokhman, Director of Airworthiness and Aircraft Operations at Indonesia’s Directorate General of Civil Aviation (DGCA), highlighted the broader national strategy during the launch.

“We want to strengthen aviation independence by making Batam Aero Engine an MRO hub that is efficient, responsive, and competitive in the Asian market,” Rokhman said, as reported by ePlaneAI.

AirPro News analysis

The establishment of Batam Aero Engine represents a calculated vertical integration Strategy by Lion Group. By bringing engine and APU maintenance in-house, the operator can better control maintenance costs and mitigate Supply-Chain bottlenecks that have constrained the global MRO sector in recent years. Furthermore, positioning the facility in Batam allows Indonesia to compete directly with established MRO hubs in neighboring Singapore and Malaysia. If the facility can secure third-party contracts as intended, it will mark a significant maturation of Indonesia’s domestic aviation technical capabilities and workforce.

Sources: Lion Air Public Relations