Going Global, PGN Sells And Buys 7 International LNG Cargo

Photo: Doc. PGN

JAKARTA - Pertamina Gas Subholding PT PGN Tbk conducts an international buying and selling business LNG Trading with the aim of China. The first shipment of LNG International cargo PGN came from the supply Petronas - Bintulu which was sent to CNIC - China on February 9, 2024. The total LNG delivery was 7 cargoes or the equivalent of 64 BBTUD. The goal of Going Global Business encourages PGN to realize this business.

"This maneuver is a realization of PGN's global business expansion and business diversification to enter the international LNG business, by having a global energy sales portfolio. LNG is important for PGN's supply chain and is expected to be the driver of revenue from the international LNG business in 2024," said PGN President Director Arief S. Handoko, Sunday, February 11.

The LNG International business with the aim of the Chinese state has been explored since 2020-2021 with suppliers and buyers, until finally reaching a mutual agreement for the realization of LNG shipments this year. In the process, PGN also communicates intensively both with LNG suppliers and potential buyers. In addition, market intelligence is also carried out for marketing and penetration of LNG both regionally and globally.

This collaboration provides benefits for PGN for the creation of important milestones in the global LNG business, thus creating awareness and presence of PGN to globally scale LNG players. In addition, PGN added networking to establish good relations with international players.

Arief emphasized that business calculations and GCG are carried out prudently so that PGN's efforts to enter the international LNG market have economic impacts for companies and the state. However, it also continues to provide priority for natural gas to fulfill domestic energy so that the economy and energy resilience are maintained.

International LNG business diversification at PGN is driven by LNG demand growth in several countries including China. The potential for global markets is quite attractive, given that LNG has an advantage over pipeline gases. LNG can be transported remotely and channeled to demand centers in a faster-relative time, and can be traded on the open market.

PGN takes advantage of this advantage with the capability of LNG portfolio to become an international level LNG Player. Gradually, infrastructure is sought to be more reliable, as well as improve business communication both with LNG suppliers and buyers in the global market.

Milestone global LNG sales are part of PGN's long-term plan to maintain business growth. In the future, PGN will also try to increase the volume of international LNG trading through initiatives currently being explored, including the potential for diversification of other LNG businesses such as Gasing Up Cooling Down, revitalization and construction of new LNG storage tanks and LNG Bunkering which will be carried out by PGN and its subsidiaries.