Indonesia’s Oil Giant Pertamina Signs Deals With 4 African Countries

TEMPO.CO, Jakarta – Indonesia’s oil and gas giant Pertamina Group accompanied President Joko “Jokowi” Widodo on a working visit to four African countries this week, namely Kenya, Tanzania, Mozambique, and South Africa.

Pertamina President Director Nicke Widyawati said that during the visit, her side brought several cooperation initiatives in the upstream, midstream, downstream, and geothermal sectors, and was able to secure four commitments with four African countries.

In Kenya, two cooperation agreements were signed with Africa Geothermal International Limited (AGIL) and the National Oil Corporation of Kenya (NOCK). The agreements were signed by Pertamina subsidiaries PT Pertamina Geothermal Energy Tbk (PGEO) and Pertamina Upstream subholding PT Pertamina Internasional Eksplorasi dan Produk (PIEP).

“Pertamina opens up opportunities for cooperation, and Africa has the right business that Pertamina needs. We have the experience, competence, and capability to do it,” Nicke said in a written statement, on Friday, August 25, 2023.

Nicke stressed that Pertamina Group prioritized cooperation that benefits Indonesia. [We have] the spirit of bringing the barrels home. Pertamina’s footprint in the upstream sector is to boost production so that it can be processed in Pertamina’s domestic refineries, to enhance our national energy security,” she said.

In Tanzania, Pertamina signed an MoU with the Tanzania Petroleum Development Company (TPDC) in the field of upstream and downstream oil and gas exploration and production in the region. The signing took place in the presence of the two heads of state, President Jokowi and Tanzanian President Samia Suluhu.

President Jokowi also asked Pertamina to participate in the management of the Mnazi Bay gas block and the processing of natural gas into chemicals and fertilizers.

In Mozambique, PIEP signed an MoU with Buzi Hydrocarbons Pte. Ltd. (BHPL) to explore the potential in the oil and gas sector from upstream, midstream, and downstream to gas-fired power plants.

Prior to the visit, Pertamina had also signed an MoU with GUMA for the cooperation areas of Kenya, South Africa, and the Democratic Republic of Congo. This commitment was in line with cooperation in the development and optimization of gas pipelines, gas-fired power plants, and electricity export facilities in South Africa.

In some of the existing collaborations, Pertamina would involve other subsidiaries for project development such as oil and gas service providers PT Pertamina Drilling Service and PT Elnusa Tbk, as well as Pertamina New Renewable Energy (Pertamina NRE).

Nicke revealed that the African initiatives reflected Pertamina’s role as an SOE in fulfilling the government’s mandate to improve bilateral ties, as well as efforts to expand business potential to go global.

“We hope that all cooperations can bring benefits to all parties, especially Pertamina and Indonesia, because we have the spirit of ‘bring the barrels home’, meaning that Pertamina’s overseas expansion must bring benefits to the people of Indonesia,” Nicke said.

Source: Tempo