Lahendong Geothermal Power Plant, Indonesia (Source: Pertamina Geothermal Energy)
News from Indonesia reports that registration for the planned IPO of PT Pertamina Geothermal Energy in Indonesia is already underway.
PT Pertamina Geothermal Energy (PGE), part of PT Pertamina (Persero), is said to have registered in the early stages of listing on the stock exchange or initial public offering (IPO), according to CNBC Indonesia’s news last week. This was stated directly by the Deputy Minister of BUMN I Pahala Mansury.
With five geothermal power plants operated in Indonesia, PT Pertamina Geothermal Energy is one of the largest geothermal operators in the world. The total power generation capacity is 672 MW with the plants of Wayang Windu, Darajat, Gunung Salak, Sarulla and Bedugul.
“The preparations are already underway. We have registered or are in the early stages of registration. God willing, in 2022,” Pahala told CNBC Indonesia. At the same time, the public offering of shares is intended to increase the transparency of PGE’s future development. In addition, it is also an attempt to increase investment while seeking strategic partners willing to undertake IPO transactions.
Earlier, he mentioned that the target for the funds raised through this IPO could reach $400-500 million or around Rp. 7.15 trillion (assuming an exchange rate of Rp. 14,300 per US dollar). According to him, the IPO plan is to expand the geothermal business, particularly Pertamina and Indonesia in general.
With around 24,000 MW, Indonesia is said to have the second largest geothermal resource in the world, which is still largely untapped. Today, the country is number two in the world after the United States in terms of geothermal power generation capacity. The current utilization is therefore only around 9% and could develop much more strongly.
Pertamina Geothermal Energy’s corporate secretary, Muhammad Baron, was reluctant to detail the implementation stages of the company’s IPO. What’s clear is that he said PGE remains focused on running the geothermal business and continuing to develop its existing potential. “All efforts to implement the development are currently underway and always in coordination with shareholders,” Baron told CNBC Indonesia.
Source: CNBC Indonesia
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