PGN to Discuss Gas Subholding Company Ahead of Pertagas Integration

State-owned gas distributor PT Perusahaan Gas Negara (PGN) will hold an extraordinary shareholders meeting on June 29 to discuss a plan to establish a gas subholding company under the state-owned oil and gas holding company.

State-owned oil and gas company Pertamina heads the oil and gas holding company along with PGN. Meanwhile, Pertamina gas subsidiary PT Pertagas will integrate with PGN to form a state-owned gas subholding company.

Pertamina investment planning and risk management director Gigih Prakoso said in Jakarta on Monday that during the meeting, the PGN management would demand shareholders to support Pertagas’s assets valuation as part of the integration.

“During the June 29 meeting, shareholders [are expected] to agree on the value of Pertagas’s assets. Everything is on the timeline. It is merely an integration,” said Gigih at a press conference on Monday, as quoted by kontan.co.id.

Gigih said that all transactions related to the PGN-Pertagas integration would be carried out in accordance with existing regulations.

“As for the valuation, we are getting a proper appraisal involving the BPKP [the Development and Finance Comptroller] to ensure that the integration is based on business principles and can be accepted by the general public,” Gigih added.

Meanwhile, the State-owned Enterprises Ministry’s mining and strategic industry deputy, Fajar Harry Sampurno, assured that there would be no layoffs in connection with either the oil and gas holding company or the gas subholding company.

Courtesy :Thejakaratapost
Photo :CNN Indonesia

[social_warfare buttons=”Facebook,Pinterest,LinkedIn,Twitter,Total”]