PGN Announces Force Majeure Conditions Regarding Selling And Buying Gas With Singaporean Companies

Illustration (Photo: Doc. Antara)

PT Perusahaan Gas Negara Tbk (PGAS) announced the condition of force majeure regarding the sale and purchase agreement for liquefied natural gas (LNG) with Singaporean company, Gunvor Singapore Ltd.

Meanwhile, PGAS acts as a seller and Gunvor acts as an LNG buyer.

Quoted from the disclosure of information on the Indonesia Stock Exchange, PGAS Corporate Secretary Rachmat Hutama revealed, this condition will last for several months until 2024.

"The company estimates that Foce Majeure's condition will be no less than a few months in 2024," wrote Rachmat, quoted on Wednesday, November 8.

Furthermore, he added, at the time of reporting there was no significant impact on the incident on the company's operational, legal, and financial condition activities.

Although he admitted that there was no significant impact, based on the company's financial statements in the third quarter of 2023, it was recorded that there was a decrease in net profit to US$198.5 million or Rp3.16 trillion from the same period in the previous ton of US$310.52 million. The decline was recorded at 36 percent.

Previously, in 2022, PGAS had signed a long-term LNG purchase contract commitment with several companies, one of which was Gunvor with a period of 2024-2027.