Pertamina lacks funds to pay for LNG, official says<\/p>\n
Bloomberg
\nJakarta<\/p>\n
State oil and gas company PT Pertamina, the world's largest
\nexporter of liquefied natural gas, has insufficient money to pay
\nfor purchases of the fuel, a company official says.<\/p>\n
Pertamina would ask the government to make payments to
\nsellers, the company's director of marketing and trading Ari
\nSoemarno said on Friday.<\/p>\n
\"Looking at our cash flow right now, we cannot pay for the
\ncargoes,\" he said.<\/p>\n
Pertamina is buying LNG to meet contractual deliveries after a
\ndrop in production in Nanggroe Aceh Darussalam. Pertamina
\noperates Indonesia's LNG plants and has been asking buyers in
\nNortheast Asia to accept delays in shipments of nine cargoes as
\nthe government wants to divert some natural gas from one of its
\ntwo LNG plants to fertilizer makers.<\/p>\n
Indonesia needed to pay this week for the purchase of one LNG
\ncargo for April delivery from the Middle East, Soemarno said,
\nwithout giving the price or the identifying the seller.<\/p>\n
The government might cut the income tax imposed on Pertamina
\nto 35 percent from 60 percent to help the company compete with
\ninternational rivals such as Royal Dutch\/Shell Group, Bisnis
\nIndonesia newspaper reported on March 29, citing Minister of
\nEnergy and Mineral Resources Purnomo Yusgiantoro.<\/p>\n
Pertamina's profit may have risen to Rp 7.3 trillion (US$769
\nmillion) in 2004 after the company pumped 138,000 barrels of oil
\na day, President Director Widya Purnama said earlier this year.<\/p>\n
The company posted net income of Rp 3.9 trillion in 2003 and
\ntargeted net income of Rp 4.38 trillion for 2004.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/pertamina-lacks-funds-to-pay-for-lng-official-says-1447899208",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}