Pertamina funds House members trip to Hong Kong, Seoul

State-owned oil and gas company PT Pertamina allegedly had financed a controversial official trip by some members of the House of Representatives’ Commission VIII to Hong Kong and South Korea, the Kompas newspaper reported on Saturday.

The commission has been dealing with Pertamina’s sale of giant oil tankers.

Pertamina’s employees union chairman Otto Gewa Diwara said that although the trip is claimed as "official trip," it is clearly aimed to make sure that the lawmakers would not reject or delay Pertamina's controversial plan to sell very large crude carriers (VLCC).

Pertamina has already selected three prospective buyers for the VLCC. The company’s deputy director of oil tankers Dedeng Wahyu Edi confirmed the news of House members trip to Hong Kong and South Korea, which was arranged by Pertamina.

Dedeng said the House members will attend the presentation of Goldman Sachs Group, a consultant for the tanker sale, in Hong Kong and listen directly from the Hyundai Heavy Industries, which build the tankers, in Seoul.

When asked about the total number of House members joining the trip, Dedeng admitted that he did not know the exact number but confirmed that Adi Wibowo, an officer from his department is accompanying the group, which has 30 people: members of the Commission VIII and several wives of the members and two House officers.

Pertamina’s funding of the trip is questionable. Because, earlier Pertamina’s board of directors said that the main reason for selling oil tankers was due to lack of money in the company’s coffers. (*)