Government Urges Pertamina to Expand Business Abroad

State- Owned Enterprises Minister

Rini Soemarno recently suggested that Pertamina would have trouble expanding its business overseas if it was required to set up an oil and gas business entity, reported Tempo. However, Soemarno claimed that Pertamina must expand its business overseas anyway, as oil and gas reserves in Indonesia are running out.

"If [Pertamina] is required to be a [business] entity, it won't be able to

make investments overseas. Pertamina serves a function to provide energy," Soemarno told the media.

Soemarno responded to a proposal made by the House of Representatives Commission VII which manages the nation’s energy affairs. She claimed that the Indonesian government is looking to realize energy independence. Because of this, Pertamina needs to make overseas investments in an effort to acquire oil fields with more reserves.

According to the minister, Pertamina must own more energy supplies and set the country up for energy resilience, making it less dependent on foreign nations.