Medco offered $150 million in commercial loan
Wednesday, May 8 2002 - 03:54 AM WIB
A consortium of Japanese banks has offered oil company PT Medco Energi Internasional Tbk US$150 million in commercial loan, but the firm has yet to decide whether it could accept the offer, Bisnis Indonesia daily reported on Wednesday.
?We will decide whether we accept the offer or find other alternatives. We are deliberating this matter,? Sugiharto said.
Sugiharto said the interest to be imposed by the Japanese consortium on its loans would be around 6 percent, lower than the 10 percent coupon of the Eurobonds issued by Medco recently.
Medco, Indonesia?s biggest publicly traded oil producer, currently needs some $314 million for business expansion, Sugiharto said.
On Tuesday, Medco said it would issue $100 million of Eurobonds by the end of this year to fund oil exploration.
The company is 34 percent owned by Thailand?s state-owned PTT Exploration & Production PCL. (*)