Pertamina BoD may be replaced soon: Sources

Minister of state enterprises Laksamana Sukardi is likely to launch major change at the board of directors of state oil and gas company PT. Pertamina Tbk., sources said Monday.

The sources said that Pertamina?s top job shake-up would include the company?s entire BOD. Sources said incumbent president Ariffi Nawawi would likely be replaced by current downstream director Harry Poernomo. Purnomo?s job may be filled with his deputy Rachmat Dradjad. Director of finance Afred Rohimone will be replaced by his deputy Andri Hidayat. Development director Eteng Salam would likely be repositioned to E&P directorate, replacing incumbent Bambang Nugroho.

The sources said that there would also be changes in Pertamina?s board of commissioners.

The sources said that the shake-up could take place any time now. However, they warned that the composition might change from time to time due to ?political lobby?.

Pertamina is currently under heavy financial stress for it had lost its ?retention fee? for supervising Indonesian upstream activities since the enactment of new oil and gas law. The government had also obliged Pertamina to advance payment for imported crude and fuel, making Pertamina in financial bleeding condition. (alex/godang/arry)