Pertamina to boost expenditure by 77% next year

State-owned oil and gas firm PT Pertamina plans to boost spending next year by 77% to Rp39 trillion (1US$ = Rp 9,350) from Rp22 trillion expected for this year, the company?s director said.

Pertamina?s finance director Frederick Siahaan told reporters on Thursday that around Rp26 trillion of the planned spending will be allocated to the upstream businesses.

Pertamina has also planned to revamp some of its refineries to boost refining capacity, which currently stands at less than one million barrels a day.

Frederick explains to help finance the capital expenditure plan, the company will seek borrowings next year worth about $2.5 billion including about $1 billion via international bonds market, and another Rp 1 trillion in rupiah denominated bonds.

?The remainder will come from banks both at home and overseas,? he said. (godang)