Pertamina to buy stake in French oil giant, boost African footprint

Aug 02, 2016 12:00 AM

Indonesian oil and gas company Pertamina has agreed to purchase a 24.53% interest in French peer Maurel & Prom in a deal estimated at nearly $200 million.

Pertamina, now fully owned by the government, will gain a greater presence in African oil and gas assets as the company aims to "enhance its upstream footprint around the world." Indonesia's largest oil company said Monday it will buy the stake in M&P from shareholder Pacifico at 4.20 euros ($4.70) per share, plus a potential 0.5 euro per share depending on crude oil prices next year.

Outside Indonesia, Pertamina owns oil and gas exploration and production assets in Algeria, Iraq and Malaysia.

M&P, which is listed on Euronext Paris, conducts most of its business in Africa via production in Gabon and Tanzania as well as through a 21.37% stake in Seplat Petroleum, a leading Nigerian operator.

"Our main approach to meet national energy needs is through acquisition of productive assets -- inside and outside the country," Pertamina spokeswoman Wianda Pusponegoro said Monday.

She said M&P's "highly experienced" teams are expected to contribute to the success of "this impressive stride" by Pertamina to ensure Indonesia's energy security. The deal comes as domestic oil production continues to decline.

M&P said Pertamina will make the French company its "international development platform."

Pacifico and Pertamina said the transaction is subject to approvals from the relevant regulatory authorities.

Pertamina also is in the process of acquiring state-owned listed Indonesian gas distributor Perusahaan Gas Negara. Indonesia's government is looking to group state-owned companies with similar business portfolios under the same holding company.

Market Research

The International Affairs Institute (IAI) and OCP Policy Center recently launched a new book: The Future of Natural Gas. Markets and Geopolitics.


The book is an in-depth analysis of some of the fastest moving gas markets, attempting to define the trends of a resource that will have a decisive role in shaping the global economy and modelling the geopolitical dynamics in the next decades.

Some of the top scholars in the energy sector have contributed to this volume such as Gonzalo Escribano, Director Energy and Climate Change Programme, Elcano Royal Institute, Madrid, Coby van der Linde, Director Clingendael International Energy Programme, The Hague and Houda Ben Jannet Allal, General Director Observatoire Méditerranéen de l’Energie (OME), Paris.

For only €32.50 you have your own copy of The Future of Natural Gas. Markets and Geopolitics. Click here to order now!


Upcoming Conferences
« November 2018 »
1 2 3 4
5 6 7 8 9 10 11
12 13 14 15 16 17 18
19 20 21 22 23 24 25
26 27 28 29 30

Register to announce Your Event

View All Events