Profile

Industry Sector Mining
Industry Sub Sector Oil & Gas
Established 10 December 1957
Company Type State-owned Enterprise
Key Subsidiaries Pertamina EP
Pertamina Gas
Pertamina Geothermal Energy
Pertamina EP Cepu
Pertamina Hulu Energi
Pertamina Drilling Services Indonesia
Main Commodities

Business Summary

The company was established in 1957 under the name of Permina but changed its name to Pertamina after it merged with Pertamin in 1968. Pertamina became a huge source of revenue for the New Order government of President Suharto in the 1970s, thus enabling large investments in the country's infrastructure and successful poverty reduction programs. Mismanagement and corruption, however, almost led to its bankruptcy in 1975.

The company produces a multitude of commodities such as fuel, kerosene, LPG, LNG, and petrochemicals. It is the second-largest crude oil producer in Indonesia after Chevron Pacific Indonesia (which is the wholly owned subsidiary of America's Chevron, one of the world's leading integrated energy companies). Currently, Pertamina owns six oil refineries in Indonesia that have a combined production capacity of one million barrels of oil per day (bpd).

Pertamina is a state-owned enterprise that is fully owned by the Indonesian government and thus does not trade shares on the Indonesia stock exchange (IDX).

For its upstream activities (both national and international) Pertamina conducts its own operations or engages in partnerships in the form of joint operations with Joint Operating Bodies (JOB), Joint Operating Contracts (JOC) and Technical Assistance Contracts (TAC). Besides the exploration, production and transmission of oil and gas, Pertamina is also increasingly tapping Indonesia's coalbed methane and geothermal potential. For this reason the company changed the description of its core business from an 'oil and gas company' to an 'energy company'.

The decline in Indonesia's oil output in recent years is also reflected in Pertamina's performance. Although the company - through its subsidiary Pertamina EP - manages over 141,000 square kilometers of oil and gas field concessions throughout the country, its production-per-square-kilometer ratio is low compared to the other oil companies that are active in Indonesia, indicating Pertamina is not optimally exploiting its oil reserves.

To re-establish its name as a (global) influential oil & gas player, Pertamina has shifted its focus to stimulate growth through large capital expenditure over the next years. The company seeks to acquire exploration rights for new overseas oil blocks in the Middle East, Thailand, Burma and Vietnam (it already has blocks in Sudan, Qatar, Iraq, Malaysia, Australia and Libya) as well as to ramp up production of its domestic oil blocks by using more advanced technology and by acquiring new or existing blocks. In 2009, Pertamina purchased BP's stake in Offshore North West Java (ONWJ) and in 2011 Pertamina was awarded the West Madura offshore block in East Java.

Pertamina's Operational Highlights:

   2008  2009  2010  2011  2012  2013  2014  2015
Crude Oil
(MMBO)
 54.98  64.40  70.01  70.63  71.76  73.55  98.61 101.60
Natural Gas
(BSCF)
426.53 502.05 532.85 558.60 563.15 557.67 588.67 694.33
Geothermal
(GWh)
 9,098  9,089  9,206  9,245  9,773  9,326

Source: Pertamina, Annual Report 2015

Pertamina's Financial Highlights:

    2008   2009   2010   2011   2012   2013   2014   2015
Income from
Operations
  3.42   2.67   3.07   5.35   4.76   4.74   4.44   3.92
Sales/Operating
Revenues
  57.0   35.1   47.6   67.3   70.9   71.2   70.0   41.8
Income before
Tax
  3.43   2.68   3.29   4.50   4.80   5.00   3.79   3.01
Net Profit   2.03   1.56   1.85   2.40   2.76   3.00   1.45   1.42
EBITDA   4.33   3.54   4.37   5.59   6.06   6.56   5.73   5.13
Total Assets     33.5   30.0   35.0   41.0   49.5   50.7   45.5
Total Liabilities     18.5   18.2   21.6   25.8   32.3   31.9   26.0
Earnings per
Share¹
  29.1   33.2   36.1   17.4   17.1

in billion US dollar
¹ in US dollar

Source: Pertamina, Annual Report 2015

Pertamina's Global Bonds:

  Pertamina
    2021
Pertamina
    2022
Pertamina
    2023
Pertamina
    2041
Tenor 10 years 10 years 10 years 30 years
Maturity 23 May 2021 3 May 2022 20 May 2023 27 May 2041
Size USD $1.00 bln USD $1.25 bln USD $1.63 bln USD $0.50 bln
Issue
Price
98.09% 99.41% 100.00% 98.38%
Moody's¹
Ba1/stable Baa3/stable Baa3/stable Ba1/stable
S&P¹
BB+/positive BB+/positive BB+/positive BB+/positive
Fitch¹
BBB–/stable BBB–/stable BBB–/stable BBB–/stable

¹ at issuance

Pertamina's Global Bonds (continued):

  Pertamina
    2042
Pertamina
    2043
Pertamina
    2044
Tenor 30 years 30 years 30 years
Maturity 3 May 2042 20 May 2043 30 May 2044
Size USD $1.25 bln USD $1.63 bln USD $1.50 bln
Issue
Price
98.63% 100.00% 100.00%
Moody's¹
Baa3/stable Baa3/stable Baa3/stable
S&P¹
BB+/positive BB+/positive BB+/stable
Fitch¹
BBB–/stable BBB–/stable BBB–/stable

¹ at issuance
Source: Pertamina, Annual Report 2015

Location

Contact Details

Jalan Medan Merdeka Timur, No. 1A
Central Jakarta, 10110
Phone: +62 21 3815 111
Email: pcc@pertamina.com
www.pertamina.com