Indonesia pushes for establishment of oil and gas holding company

• Dec 05, 2017

The government will soon establish a state-owned oil and gas holding company led by state-owned energy firm Pertamina, according to an official, as reported by tribunnews.com.

Fajar Harry, head of the State-Owned Enterprises Ministry’s mining business, strategic industry and media affairs, said one of the steps toward creating the holding company is to push state-owned gas distributor PT Perusahaan Gas Negara (PGN) to hold an extraordinary shareholders meeting.

After the establishment of mining holding company under the leadership of state-owned firm PT Inalum last week, the government was pushing the establishment of an oil and gas holding company.

Pertamina president director Elia Massa Manik was reluctant to comment on the issue, while a PGN official, who was speaking under the condition of anonymity, said that his company respected the move, which would see the government step in as a major shareholder.

PGN, as a public firm, would need to respond to the government’s plan carefully, the source added.

In her letter dated Nov. 28, State-Owned Enterprises Minister Rini Soemarno called on PGN to immediately hold an extraordinary shareholders meeting with the main agenda of revising its Articles of Association to make the holding company possible. (bbn)

Source: http://www.thejakartapost.com/news/2017/12/05/indonesia-pushes-for-establishment-of-oil-and-gas-holding-company.html