Pertamina’s Operational Performance Soars in 2023 Across All Business Lines
Jakarta, June 11, 2024 – Following the restructuring of the organization formation of Holding and Subholding, PT Pertamina (Persero) performance throughout 2023 continued to rise. Global challenges, especially with the decline in world oil prices and currency depreciation, were effectively navigated by Pertamina through increasingly efficient operational management and financial management optimization.
Since the organizational restructuring, operational performance in all business lines, both holding and subholding, has become more solid and reliable. Along with operational growth, financial achievements also increased thanks to efficiency, cost optimization, liability management, and the government’s commitment to settling debts to Pertamina, as stated by Pertamina’s CEO Nicke Widyawati after the Annual General Meeting of Shareholders (RUPST) for the 2023 Financial Year, held at the Ministry of State-Owned Enterprises in Jakarta on Monday, June 10, 2024.
Subheading 1: Growth in Oil and Gas Production
Through Subholding Hulu, oil and gas (migas) production grew by 8% from 967.4 million barrels of oil equivalent per day (MBOEPD) in 2022 to 1,044 MBOEPD in 2023. This production was allocated for national energy needs, with 24% of domestic blocks managed by Pertamina contributing 69% and 34% to the national oil and gas supply, respectively.
Subheading 2: Increase in Refinery Production
In the Subholding Processing and Petrochemicals, refinery production increased by 2% from 333 million barrels (BBL) in 2022 to 341 million BBL in 2023. The Balikpapan refinery development master plan (RDMP) program reached 84% by the end of December 2023, along with successful innovations in environmentally friendly energy products like sustainable aviation fuel (SAF), BioSolar B35, and Pertamax Green.
Subheading 3: Progress in Marketing and Trading
In the marketing and trading business, sales of petroleum and non-petroleum products through the Commercial & Trading subholding also increased from 98 million kiloliters (KL) in 2022 to 100 million KL in 2023. Moreover, Pertamina Patra Niaga began distributing environmentally friendly fuels like Pertamax Green 95 and Biosolar 35.
Subheading 4: Advancements in Renewable Energy
Under the Pertamina New & Renewable Energy (PNRE) subholding, electricity production from new and renewable energy sources, including geothermal, rose by 17% from 4,658 gigawatt hours (GWh) in 2022 to 5,451 GWh in 2023. PNRE also commercialized several operations, including IPP Java 1 Unit 2, Solar Power Plants in Rokan, Refinery Units II, III, IV, and VI.
Pertamina’s Success in Distributing Energy
PT Pertamina (Persero) successfully fulfilled a special assignment from the Government to distribute energy to the public. This was confirmed during the Annual General Meeting of Shareholders (RUPST) for the 2023 Financial Year, held at the Ministry of State-Owned Enterprises in Jakarta on Monday, June 10, 2024.
Nicke emphasized Pertamina’s role as a state-owned energy company in maintaining national energy resilience through energy management principles of availability, accessibility, affordability, acceptability, and sustainability. Pertamina has various assignments from the Government to ensure energy availability, affordability, and fairness are met, focusing on integrated operations from upstream oil and gas to product distribution to meet industrial, commercial, and household needs.
One heartwarming story that stands out is Pertamina’s provision and distribution of 3-kilogram LPG starter packages for fishing vessels and water pump engines for fishermen and farmers. They also support infrastructure development like household gas pipelines, including those used in the core areas of the National Capital political center (IKN).
Vice President of Corporate Communications Fadjar Djoko Santoso added that Pertamina continuously collaborates with all stakeholders to fulfill these assignments. The success of Pertamina in executing these assignments is undoubtedly due to the Government’s support to ensure smooth, safe, and purposeful energy distribution.
Pertamina, as a leading company in energy transition, is committed to supporting the Net Zero Emission 2060 target by pushing programs that directly impact the achievement of Sustainable Development Goals (SDGs). All these efforts align with the implementation of Environmental, Social & Governance (ESG) across all Pertamina business lines and operations.
