Panigoro wants to retain majority ownership at Medco

The Panigoro Family still wants to retain their majority ownership at local private oil and gas company PT Medco Energy Corporation Tbk, following the increase of ownership of PTT Exploration & Production PCL at Medco to 40 percent.

Medco Energy director Hilmi Panigoro said the Panigoro family currently still held majority stake at the company.

"It means that 40 percent stake is owned by PTTEP and the other 60 percent is controlled by the Panigoro family and Credit Suisse First Boston," he said..

When asked a report at Bangkok Post that PTTEP wanted to increase its ownership at Medco from 40 percent to 50 percent, Hilmi said the report was wrong.

Meanwhile, a market analyst commented that the attitude of the Panigoro family to retain their majority ownership at Medco was normal.

"They do not want to see the majority stake at Medco fall into other hands. The increase of ownership by other shareholders at Medco is acceptable, as long as they do not become majority shareholder," the analyst said.

According to data at JSX Watch 2001, before the entrance of PTTEP, Medco shareholders were PT Medco Duta (2.37 percent), PT Nuansa Grahacipta (0.09 percent), PT Multifrabindo Gemilang (0.06 percent), New Links Energy Resources Ltd (86.13 percent) and public shareholders (11.35 percent).

PTTEC entered Medco through its unit PTTEP Offshore Investment Co, that bought 40 percent stake from New Links Energy at US$225 million. (*)