Finalization Process For Public Offering, Pertamina Geothermal Welcomes Strategic Investors

Photo: Doc. PGE

JAKARTA - The plan for the initial public offering (IPO) of PT Pertamina Geothermal Energy (PGE), has entered the finalization phase. The IPO plan for a subsidiary of PT Pertamina through PT Pertamina Power Indonesia and PT Pertamina Pedeve Indonesia has been targeted since last year.

Pertamina Power Indonesia's Director of Strategic Planning and Business Development Fadli Rahman revealed, PGE is still undergoing the finalization stage to be able to list shares on the Indonesia Stock Exchange (IDX) next year.

"We already prepared it last year, so we are waiting for it, it is in the finalization stage, and many details need to be adjusted. So this is the process," he said when met at the Ministry of SOEs, Jakarta, Tuesday, November 8.

But unfortunately, Fadli has not been able to talk much about the details of the IPO process until the time allowed by the regulator. Including the matter of certainty when the IPO will be carried out.

"I can't say more than that until it's actually announced because the right things have to be adjusted," he said.

Even so, Fadli gave a little hint that there were already investors who were interested in entering through the IPO. However, Fadli did not provide details about who the intended investors were.

"PGE is ready to unlock value, I am really praying for closing in the near future, there are several anchor investors involved who have finalized discussions, hopefully, they can be met and announced in the near future," he said.

As previously reported, Minister of State-Owned Enterprises (BUMN) Erick Thohir assigned Pertamina through PGE to increase its business in the geothermal sector or (geothermal). The reason is, the energy potential is very large but has not been widely used.

This geothermal energy potential needs further development. Therefore, in the near future, Erick plans to seek additional funds through public fundraising on the IDX.

"We are trying so that PGE can get access to additional funds for geothermal development, one of which is by going public," said Erick at the Road to G20 Forum with Himpuni, Tuesday, October 25.

Erick said that the utilization of the domestic geothermal sector needs to be maximized. This effort also encourages the realization of new and renewable energy (EBT) in Indonesia.

Erick noted that geothermal potential can provide electricity up to 24 GW, while currently it only reaches 2 GW. Therefore, maximizing geothermal heat can no longer be delayed and must be realized immediately.

Furthermore, Erick also plans to combine three BUMNs that manage geothermal, namely PLN, Pertamina, and Star Energy Geothermal. The goal is that the development of geothermal energy can be more optimal in order to boost the utilization of EBT in the country.

"I really wanted this to be merged from the start so that it became one unit. Why does the government have different companies," he said.