Pertamina, PTBA sign oil fuel contract
Monday, February 1 2016 - 08:04 AM WIB
State owned oil and gas firm PT Pertamina (Persero) recently signed an extension contract to provide IDX-listed state controlled mining firm PT Bukit Asam Tbk (PTBA) with oil fuels.
The extension contract which is valid through 2020 involves the provision of oil fuels worth Rp 2.7 trillion for PTBA.
PTBA?s Commerce Director M. Jamil said the provision of fuels is carried out through Vendor-Held-Stock (VHS) scheme, meaning Pertamina manages the fuel stock
?We pay based on the amount of fuels delivered to us, while Pertamina bears inventory and losses risks," Jamil said, while calling on Pertamina to improve its service.
Aside from PTBA, Pertamina also signed contracts to provide oil fuels to two other firms in South Sumatra, namely PT Bangun Karya Pertamina Lestari and PT Satria Bahana Sarana. They will take 3,000-5,000 kl per month.
Editing by Johannes Simbolon