Pertamina's unit to issue bond

Pertamina's unit to issue bond

JAKARTA: Indonesia's state-owned oil and gas company Pertamina
plans to issue a $250 million bond later this year, via one of
its units, to finance the buyout of a geothermal power plant, a
company official said Monday.

The official, who declined to be named, said Pertamina is
planning to buy over the 220-megawatt Wayang Windu power project
from PT Mandala Nusantara, a company owned by former President
Suharto's youngest son Hutomo Mandala Putra, also known as
"Tommy." The development of the power plant was halted during the
1997 Asian financial crisis.

"We haven't decided which unit we will choose to issue the
bond," the official added.

He said further details of the bond are unavailable.

He added that Pertamina is seeking various ways, including
bond issues, to raise funds to finance investment projects. --
Dow Jones