Elnusa Budgets Capital Expenditures Of IDR 526 Billion This Year

PT Elnusa Tbk, a subsidiary of PT Pertamina Hulu Energi (PHE) who is a member of Pertamina's Upstream Subholding, has prepared a capital expenditure (capex) budget of IDR 526 billion in 2024.

"The Capex is allocated 53 percent to upstream services, 31 percent of energy distribution and logistics services, 9 percent for upstream support and the rest for business development," said Elnusa's Director of Business Development, Arief Prasetyo Handoyo.

"Through this prepared capital expenditure, Elnusa is committed to being ready to invest in sustainable business development in supporting the company's future growth," said Arief, quoted from Antara, Saturday, March 2.

The absorption of capital expenditures from upstream services will be allocated to increase the capacity of various supporting equipment for exploration activities as well as oil and gas production.

From energy distribution and logistics services, the company will expand non-fuel business, optimize the chemical market upstream of oil and gas and expand the downstream chemical market and develop B35 blending innovations to increase profitability.

In the mid-stream segment, as well as new renewable energy and support, the company will absorb capital expenditures by investing in purchasing fuel tankers and sea transportation for LNG and LPG, continuing its exploration of the energy transition ecosystem through battery assets management systems and fabrication of oil and gas support equipment.

Through this prepared capital expenditure, Elnusa is committed to being ready to invest in developing and innovating in supporting the company's future growth.

Meanwhile, for 2023, Elnusa recorded a capital expenditure realization of IDR 495 billion out of a total of IDR 500 billion. The realization was carried out by the company selectively and was used for various investments that support production optimization as well as business sustainability.

Among them in upstream services to purchase AWB Offshore barges, distribution and logistics services are allocated to purchase tank cars and develop oil and gas support services and non-projects.

"We are looking optimistic that in 2024 we will again improve positive performance by accelerating competitive, profitable and responsible business growth in the future as an energy service company that provides a total solution," said Arief.