Pertamina awaiting govt?s response on asset ownership request

State oil and gas firm Pertamina is awaiting government response to its formal request that the government transfer to it ownership of oil refineries and other assets currently operated by the company, Koran Tempo daily reported on Wednesday.

Pertamina president director Baihaki Hakim said his company would have to sell fuel at much higher prices if it was forced to lease oil refineries.

Baihaki said the Ministry of Finance was continuing calculating the value of all government assets currently operated by Pertamina.

Existing oil and gas law, which came into force late last year, dismantled Pertamina?s decades long monopoly in the country?s upstream and down stream sectors. The law also stipulates that Pertamina operate as a normal limited liability company, and, as a consequence, it no longer has preferential rights to operate government assets. (*)