Indonesia Pertamina Geothermal plans IPO in Q2 next yr - minister
JAKARTA : Indonesian power company PT Pertamina Geothermal Energy, a unit under state energy company Pertamina group, will launch an initial public offering in the second quarter of next year, a minister said on Thursday.
The IPO will help the company expand its businesses amid expectation of rising demand for greener energy as the country shifts away from fossil fuels, State-Owned Enterprises Minister Erick Thohir told a parliamentary committee.
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"We know how the world is now really pushing for the shift into green energy ... this would also help PLN reach the 15 gigawatt shift from fossil energy," he said, referring to state electricity company PLN, which plans to cease use of coal power plants by 2056.
Pertamina Geothermal currently has around 900 megawatt of installed capacity and the company aims to double that in the next five years, deputy minister for state enterprises, Pahala Mansury, told the same hearing.
"This would require a pretty big capital expenditure," Pahala said.
Erick and Pahala did not disclose further details of the IPO, including the planned size of the shares sale.
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(Reporting by Fransiska Nangoy; Editing by Martin Petty)