PGN paid US$1.8m to Pertamina on failed gas delivery

State-owned gas company PT Perusahaan Gas Negara (PGN) said Monday it had to pay a fine of US$1.8 million to the state-owned oil and gas firm Pertamina as it failed to deliver Pertamina's gas as scheduled.

PGN President Director Sutikno said that based on agreement with Pertamina, PGN should have delivered gas from Pertamina in November last year, but his firm would only be able to do so in March.

"Therefore the total fine from November to March is $1.8 million," he said.

Meanwhile, PGN shares were suspended Monday from the Jakarta Stock Exchange (JSX) following the shares sharp fall last week. (*)