Pertamina Gas Subholding And Gunvor Global LNG Business Cooperation

Photo: Doc. PGN

JAKARTA - PT PGN Tbk as Pertamina Gas Subholding is committed to immediately realizing the trading potential of natural gas and liquefied natural gas (LNG) in the international market by establishing a partnership with Gunvor Singapore Pte. Ltd (Gunvor). In this collaboration, PGN and Gunvor will carry out the sale and purchase of LNG in the international market and expand other business collaborations.

PGN and Gunvor have entered the Master Sales and Purchase Agreement (MSPA) and Confirmation Notice (CN) process for LNG supply. LNG supply from PGN will complement Gunvor's LNG portfolio as the largest independent trading company.

“This collaboration is part of Pertamina's strategy to monetize its LNG portfolio and our company has considerable potential for other business collaborations. We are looking forward to opening up this business opportunity," said CEO of Pertamina Gas Subholding, PT PGN Tbk M. Haryo Yunianto, in a written statement, Wednesday 30 June.

Furthermore, Pertamina as the Oil and Gas Holding will support the supply of LNG from Pertamina's portfolio for PGN's business to the international market.

PGN's Director of Strategy and Business Development Heru Setiawan is very enthusiastic about this collaboration, where Gunvor is one of the largest trading companies in the world. Synergy with Gunvor opens opportunities and develops the LNG market, as well as adding to the market area that has been previously reached by Pertamina.

“Partnering with Gunvor allows us to enter new markets, where previously our access was quite limited. This collaboration is unique and has the potential to be a solution in providing energy in the region and in other countries,” said Heru.

“We are pleased to enter into our first LNG transaction with PGN and will strengthen the existing cooperation with the Pertamina Group. We hope that future cooperation with PGN can establish a competitive and reliable LNG supply in the global market. This collaboration will open a new chapter for our company and allow for wider collaboration around the world,” said Ksenia Alleyne, Co-Head of LNG Trading for Gunvor.

PGN's business portfolio is very dominant in Indonesia, but to enter the international market, PGN needs a strategic partner to accelerate business penetration and commercialization. PGN and Pertamina Group continue to optimize their roles so that PGN's business development in the LNG Trading International sector can develop massively.

Gunvor is one of the world's largest trading companies in creating logistics solutions to move fuel/energy safely and efficiently from source and storage to where it is needed most. Gunvor also has strategic investments in refining, pipeline, storage and terminal industrial infrastructure that complements its core business and generates sustainable value for customers across the global supply chain.

In 2021, Gunvor generated $135 billion in revenue from 240 Million MT volume of energy commodities, which is the world's leading independent liquefied natural gas (LNG) trader.