Investment

PGN wants to accelerate the acquisition of Pertagas

State gas company PT Perusahaan Gas Negara (PGN) is finding a way to immediately complete the acquisition of PT Pertagas, a gas subsidiary of state-owned oil and gas holding company Pertamina, whose deal to buy a 51 percent stake of Pertagas was made on June 29.

Currently, PGN currently is considering how to take over the last four subsidiaries of Pertagas – PT Perta-Samtan Gas, PT Perta Arun Gas, PT Perta Daya Gas and PT Perta Kalimantan Gas – that had not been included in the agreement.

PGN corporate secretary Rachmat Utama told journalists on Wednesday that the company was still waiting for approval from the State-Owned Enterprises (SOEs) Ministry and Pertamina for the company to take over the four subsidiaries.

“If an option to take over [four Pertagas subsidiaries] is available, we will take it,” he said, adding that PGN also planned to assess the future profitability of the companies and considered merging the four companies after the takeover.

On June 29, PGN, which is in the process of becoming a gas subholding company of Pertamina, inked a sales and purchase agreement with Pertamina to buy a 51 percent stake of Pertagas, including one subsidiary, Pertagas Niaga.

Initially, the company planned to complete a payment of US$1.2 billion to buy a 51 percent stake of Pertagas on Sept. 29, but it was later postponed to November.

PGN president director Gigih Prakoso, as quoted by kontan.co.id on Sept. 25 in September, said that PGN was still waiting for document of acquisition approval from Pertamina. (bbn)

The Jakarta Post

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