Companies & Finance

Indonesia completes transfer of majority stake in PGN to Pertamina

Indonesia’s government completed the transfer of its majority stake in PGN to Pertamina on Wednesday.
By Staff reporter 12 April 2018 0 30416

Indonesia’s government completed the transfer of its majority stake in gas distributor Perusahaan Gas Negara (PGN) to oil and gas giant Pertamina on Wednesday, according to the Nikkei Asian Review.

Pertamina received a 56.96% stake in the company, valued at $2.77 billion.

It is anticipated PGN will take over Pertamina’s gas subsidiary, Pertagas, increasing the size of its network.

The combined companies will have control over 10,000 km of pipelines predominantly in Java and Sumatra, the two major islands in western Indonesia.

The government is planning...