Pertamina's net profit to drop by 60% in 2009

Indonesia’s state-owned oil company PT Pertamina’s consolidated net profit in 2009 is expected to decline by 60%, from Rp30 trillion (US$2.5 billion) in 2008 to Rp12 trillion (US$1 billion). “The prediction is based upon the price of Indonesian crude which is assumed at US$45 per barrel or lower than the 2008 assumed average price of US$101 per barrel,” Finance Director Frederick Siahaan said after a general shareholders’ meeting at the office of the state enterprise minister. He said oil production was expected to reach 72 million barrels in 2009, from 62.8 million barrels in 2008. He said that in 2009, the company would invest Rp12.6 trillion (US$1.05 billion) in downstream business development. Frederick said based on the work plan and government budget, the company also agreed to continue with its plan to make Pertamina a public non-listed company. “In 2009 we will make Pertamina a public non-listed company. We are waiting for the conclusion of the audit and the issuance of the government regulation on public non-listed companies,” he said. (January 16/28/30)