Pertamina plans $500m bond: Bankers

SINGAPORE: Pertamina, Indonesia's state-owned oil and gas company, has received proposals from banks vying for a mandate on the possible structure of a planned $500 million bond, which it plans to issue by the end of the year, bankers said Friday.

The proceeds will be used for capital expenditure.

Pertamina sent out a request for proposals at the end of last week to about eight to nine banks for a bond issue which will likely have a maturity of between five and 10 years.

The company is expected to shortlist "within the next week or two" four or five banks, said a banker.

These shortlisted banks are then expected to make "actual physical presentations" in mid-August, after which the mandate will be awarded, he added.-- Dow Jones