Pertamina facts for kids

Quick facts for kids
PT Pertamina

Pertamina headquarters in Jakarta
Formerly	PN Pertambangan Minyak dan Gas Bumi Nasional (1968-1971) Perusahaan Pertambangan Minyak dan Gas Bumi Negara (1971-2003)
Type	State-owned perseroan terbatas Statutory corporation between 1968 and 2003
Industry	Oil and gas
Founded	August 1968; 56 years ago (1968-08)
Headquarters	Jl. Medan Merdeka Timur, Gambir, Central Jakarta, Indonesia
Key people	Basuki Tjahaja Purnama (President commissioner) Nicke Widyawati (President director)
Products	Fuels, lubricants, petrochemicals
Revenue	US$ 41.47 billion (2020)
Operating income	US$ 4.1 billion (2020)
Net income	US$ 1.05 billion (2020)
Total assets	US$ 69.14 billion (2020)
Total equity	US$ 31.25 billion (2020)
Number of employees	13,526 (2020)
Subsidiaries	See Subsidiaries

Pertamina fuel station in Bali

PT Pertamina is a big Indonesian company that deals with oil and natural gas. It is owned by the Indonesian government and is based in Jakarta. The company was formed in August 1968 when two older companies, Pertamin (started in 1961) and Permina (started in 1957), joined together.

In 2020, Pertamina was the third-largest producer of crude oil in Indonesia. It was also the only Indonesian company to be listed in the Fortune Global 500 list in 2013, which ranks the world's biggest companies. According to the 2020 Fortune list, Pertamina is the largest company in Indonesia.

How Pertamina Started: A Look at Its History

Taking Control of Oil: Nationalization in Indonesia

In 1957, the Indonesian government took over the oil operations of a company called Royal Dutch/Shell. From this, a new state-owned oil company called Permina was created. Lieutenant-General Ibnu Sutowo was put in charge of Permina. This was the start of the armed forces getting involved in Indonesia's oil industry. Permina was responsible for distributing oil all over Indonesia.

Permina also started schools to train experts in the oil field. They opened the Apprentice Technical School in Pangkalan Brandan and the Oil Academy in Bandung in 1962. These schools helped train the people who would later work for Pertamina.

In 1960, the government decided that only the state could mine Indonesian oil and gas. So, Pertamin was set up in 1961 to manage the search for and production of oil. Later, the government made agreements with foreign companies. These agreements meant that oil refineries and other parts of the oil business would gradually be sold to Indonesia.

In 1968, Permina and Pertamin merged to form PN. Pertamina. This was done to bring all oil and gas activities under one company. Pertamina then made agreements with foreign companies to help produce oil.

Growing and Facing Challenges: The 1970s for Pertamina

After the merger, Pertamina's oil production grew a lot. By the end of 1973, it produced a large part of Indonesia's oil. The company owned seven refineries, oil terminals, many oil tankers, and even an airline. Pertamina also had interests in other industries like cement, fertiliser, and steel.

In 1974, oil prices went up a lot, bringing in huge amounts of money for Pertamina. This money was used to expand Pertamina's business into many areas beyond oil. For example, Pertamina helped build the Bina Graha, which is the presidential office building in Jakarta.

However, by 1975, Pertamina faced big financial problems. The company owed a lot of money to its lenders. An investigation showed that Pertamina had over US$10 billion in debt. This was a huge amount, equal to about 30% of Indonesia's total economy at the time. The government had to step in and help Pertamina pay its debts. This rescue plan almost doubled Indonesia's foreign debt.

A Fokker F27 Friendship plane used by Pertamina in the 1970s.

Pertamina's Journey from the 1980s Onward

In 2003, Pertamina officially became PT PERTAMINA (Persero). This change meant that Pertamina became a business company focused on making a profit. It now works under the guidance of the State Minister of State-owned Enterprises.

Like other companies in the oil and gas sector, Pertamina has agreements with the Oil and Gas Regulatory Body. This allows Pertamina to operate as a business aiming for profit.

Leaders of Pertamina: President Directors

Since the 1970s, many people have led Pertamina as its president director. Here are some of the recent leaders:

• Soegijanto led Pertamina from 1996 to 1998.
• Martiono Hadianto was in charge from 1998 to 2000. Before this, he was a finance director for Garuda Indonesia, an airline company.
• Baihaki Hakim served from 2000 to 2003. He used to be the president of Chevron Texaco's company in Indonesia.
• Ariffi Nawawi was president director from 2003 to 2004.
• Widya Purnama led Pertamina from 2004 to 2006. He came from the telecommunications company PT Indosat.
• Ari Hernanto Soemarno was president director from 2006 to 2009.
• Karen Agustiawan served from 2009 to 2014. She was the first woman to lead Pertamina.
• Dwi Soetjipto was appointed in 2014 by President Joko Widodo. He had experience in the cement industry.
• Elia Massa Manik became president director in 2017. He had previously led Elnusa, a company owned by Pertamina.
• Nicke Widyawati was confirmed as the head of Pertamina in August 2018. She had been acting president director since March of that year.

Where Pertamina Works: Facilities and Locations

Oil Refineries: Turning Crude Oil into Fuel

Pertamina has several oil refineries. These are places where crude oil is processed to make fuels like gasoline and diesel. The newest refinery built by Pertamina was the Balongan refinery in West Java, opened in the mid-1990s.

Pertamina also works with other companies to build new facilities. For example, they partnered with PTT Public Company Limited to build a new petrochemical complex in Indonesia.

As of 2013, Pertamina owns six oil refineries. Together, these refineries can process about 1 million barrels of oil every day.

Pertamina also has responsibilities for other refineries in Indonesia:

Pertamina also invests in companies that manage plants for liquid natural gas (LNG). These include PT Badak LNG in Bontang, East Kalimantan, and PT Donggi Senoro LNG in Central Sulawesi.

Pertamina has plans to improve its existing refineries. This will help increase the amount of fuel they can produce each day.

Petrol Pumps and Stores: Reaching Customers

Pertamina has the largest network for distributing petroleum products in Indonesia. This includes many gas stations across the country.

Pertamina also has its own chain of convenience stores called Bright Convenience Store. These stores are often located right next to their gas stations.

Who Works with Pertamina? Its Subsidiary Companies

Pertamina has many smaller companies, called subsidiaries, that help it do different jobs. Here are some of them:

• Pertamina EP: This company finds and produces oil and gas. It manages operations in many different areas across Indonesia.
• Pertamina Gas: This company transports, trades, and processes natural gas. It has a large network of gas pipelines.
• Pertamina Geothermal Energy (PGE): PGE explores and uses geothermal energy, which is heat from inside the Earth, to create power.
• Pertamina EP Cepu: This subsidiary focuses on finding and producing oil and gas, especially in the Cepu Block.
• Pertamina Drilling Services Indonesia (PT PDSI): This company provides drilling services for oil, gas, and geothermal wells. They own many drilling rigs.
• Pertamina Hulu Energy (PHE): PHE manages Pertamina's oil and gas operations both in Indonesia and in other countries like Iraq, Vietnam, and Malaysia.
• Pertamina Internasional EP: This company manages Pertamina's international oil and gas assets.
• Pertamina EP Cepu ADK: This company manages the Alas Dara and Kemuning oil fields in Central Java.
• ConocoPhillips Algeria Ltd: This company owns oil fields in Algeria and is a subsidiary of Pertamina.
• Perusahaan Gas Negara: This is another major gas company in Indonesia.
• Pertamina Power Indonesia: Focuses on power generation.
• Pertamina Patra Niaga: Handles trading and distribution of oil products.
• Pertamina Trans Kontinental: Deals with marine transportation.
• Pertamina Retail: Manages gas stations and Bright convenience stores.
• Pertamina Lubricants: Produces lubricants (like engine oil).
• Pertamina Internasional Shipping: Manages international shipping.
• Pertamina Training & Consulting: Provides training and consulting services.
• Patra Jasa: Involved in property and hospitality.
• Pertamina Bina Medika: Manages hospitals and healthcare services.
• Pelita Air Service: An airline company.
• Pertamina Dana Ventura: A venture capital company.
• Elnusa, Tbk.: Provides oil and gas services.
• Pertamina Internasional Timor S.A.: Operates in Timor-Leste.
• Pertamina Hulu Indonesia: Manages upstream oil and gas.
• Pertamina East Natuna: Focuses on the East Natuna gas field.
• Pertamina Energy Trading Limited: Handles energy trading.
• Pertamina E&P Libya: Manages exploration and production in Libya.
• Tugu Pratama Indonesia: An insurance company.
• Pratama Mitra Sejati: Another related company.

What Pertamina Makes: Products and Services

Pertamina produces many different things, including fuels, non-fuel products, gas, petrochemicals, and lubricants.

Working with Cars: Commercial Partnerships

Since 2015, Pertamina has been the official recommended partner for fuels and lubricants for Lamborghini cars.

Supporting Sports: Sponsorships

Pertamina has supported many sports events and athletes.

From 2006 to 2007, Pertamina was a main sponsor for motorcycle racer Doni Tata Pradita in the MotoGP 125cc class. They continued to sponsor him in the 250cc category from 2008 to 2009.

Starting in 2021, Pertamina teamed up with the Mandalika Racing Team and SAG Team for the Moto2 category. They sponsored racers Bo Bendsneyder and Thomas Lüthi.

Pertamina also sponsored Rio Haryanto, Indonesia's first Formula One driver, throughout his early career. They helped him get a spot with the Manor Racing team in 2016. The company also sponsors the Formula Two team Arden through Indonesian driver Sean Gelael. They are also a main supporter of the Lamborghini Super Trofeo Asia Championship.

Pertamina is also a main sponsor for the Mandalika International Street Circuit and the Indonesian motorcycle Grand Prix.

See also

In Spanish: Pertamina para niños