Pertamina's subsidiary to go public

PT Elnusa, a subsidiary of state owned oil and gas company PT Pertamina, has decided to sell 20 percent of its shares on the Jakarta Stock Exchange later this year.

 

"The Shareholders' Meeting of the firm last night decided to sell 20 percent of its shares to the public. We shall carry out initial public offering (IPO) later this year," Pertamina's Vice President Iin Arifin Takhyan told Petromindo.Com on Tuesday.

 

Proceeds from the sale of the shares would be used to finance the expansion of Elnusa's upstream business, Iin said, adding that Pertamina had still no idea about the possible funds generated through the IPO.

 

Pertamina has yet to appoint underwriters to execute the IPO, he added.

 

Elnusa's main business is providing oil field and drilling services and information and technology services. The company has a 51 percent interest in a oil and gas block in Bangkanai in  Central Kalimantan, where it's the operator.

 

It also plans to build a $5.3 billion refinery in Java with a capacity to process 300,000 barrels of crude a day. The company has signed an initial agreement with the National Iranian Oil Refinery & Distribution Co., which will provide the crude supply. (Godang)