Pertamina, Petronas clinch high-octane gasoline deal

Indonesian state oil and gas company PT Pertamina and Malaysian state owned oil and gas company Petronas Bhd have signed an agreement to cooperate in providing high-octane gasoline in Indonesia.

Pertamina's Director of Marketing and Trade Ahmad Faisal said on Friday that under the agreement, Pertamina would supply high-octane gasoline for Petronas to sell at its gas stations in Jakarta while Petronas will supply the same type of fuel for Pertamina to sell at its gas stations in northern Sumatra.

Pertamina will supply the fuel from its refineries in Plaju, South Sumatra and Balongan, West Java, which are closer to Jakarta, where Petronas has built several gas stations. Meanwhile,  Petronas will supply Pertamina's gas stations in Northern Sumatra from its refinery in Malacca, which is closer to the region compared to the areas where Pertamina's refineries are located.

The deal will allow both firms to cut costs fo the transportation of the fuel to their gas stations, Ahmad said.

Petronas will sell the gasoline supplies from Plaju and Balongan using its brands Promax 92 and Primax 95, while Pertamina will sell the gasoline supplies from Malacca using its brands Pertamax and Pertamax Plus. The types of gasoline are mostly used in luxury cars.

"The agreement has been signed. Petronas has placed order for 2,500 kiloliters per month. This is an evidence that Pertamina's brands have been acknowledged," Ahmad said. (Godang/Bernard)