Weekly Business

Oil & Gas
Closing Down Petral

Indonesian President Joko Widodo has yet to decide on whether to close Pertamina Energy Trading Limited (Petral), a subsidiary of state-owned company Pertamina. The Minister of State-Owned Enterprises (SOEs) Rini Soemarno said that she will send a letter of recommendation to the President regarding the plan to disband the oil importing company once she receives a complete report from Pertamina. "According to Pertamina, Petral is no longer needed," she said in Jakarta last Thursday.

According to Rini, Pertamina has said that it has not purchased fuel through Petral since January 2015. Despite not going through Petral, the purchase and processing of Premium-grade gasoline (RON 88) has been smooth and effective. However, that initial report from Pertamina was sketchy. "For that reason, we need a detailed report which can be used to formulate a legal basis for making a decision," she said.

April 28, 2015