Pertamina asked to close Elnusa Petro

The Commission C of Riau's Legislative Council, Adwin Malik, has asked the state oil and gas company Pertamina to dissolve the operation of PT Elnusa Petro Tekni, saying the establishment of the company have come a threat to local companies,

He said that if all the contracts worth over Rp 50 million were given to Elnusa, the local companies would get nothing but rubbish from Pertamina's operation in the province. "The company should be closed in a bid to empower the local companies," he said.

Elnusa Petro, which was established last year to handle all the contracts at Pertamina's Riau operation unit, had been widely criticized. But Pertamina defended the company's operation, saying that all the construction or procurement works would be openly tendered despite Elnusa's operation.

Adwin said that Pertamina did not make its promise because all the contracts worth over Rp 50 million were always given to Elnusa. (*)