Indonesia: Pertamina's Shipping Unit Eyes $3B Investment to Rejuvenate Vessel Fleet

Fransiska Nangoy
Tuesday, November 22, 2022

 Pertamina International Shipping, a unit of Indonesia's state energy firm, aims to invest up to $3 billion over the next five years to rejuvenate and expand its fleet, including investing in vessels to transport liquefied natural gas, an executive said. 

Pertamina International Shipping (PIS) operates more than 400 vessels, including three very large crude carriers (VLCC) and two very large gas carriers (VLGC). "We will invest big in replacing vessels," Wisnu Santoso, a director at PIS told reporters on Tuesday. 

"We want to reduce the average age of our fleet within the next five years to 15 years from currently at around 20 years." The company is also planning to acquire vessels for LNG transportation, which it currently does not have in its portfolio, as demand for the fossil fuel, which is considered less polluting than others, is expected to increase. 

He acknowledged that shipping yards are at full capacity now and building new vessels could be expensive due to high demand, but the company is open to purchasing existing vessels as long as they still have good economic value. 

PIS in October signed an initial agreement for strategic partnership with Japan's shipping company Nippon Yusen Kaisha (NYK) with potential collaboration for LNG logistics business on domestic or international routes, the company said last month. Wisnu declined to share details of the partnership that were currently being finalised. Indonesia: Pertamina's Shipping Unit Plans Up to $3B Investment for Vessels 

(Reuters - Reporting by Fransiska Nangoy; Editing by Kanupriya Kapoor)

Categories: Shipbuilding Asia VLCC

Related Stories

Op-Ed: Kazakhstan’s National O&G Firm Positioning Itself as Global Energy Player

ORE Catapult and Japan’s FLOWRA to Jointly Advance Floating Wind

Marine Masters Secures Wellhead Platforms Installation Job Off India

MODEC and Samsung Team Up to Install Carbon Capture Tech on FPSO

Sapura Energy Nets $720M from Multiple Drilling Services Contracts

Floating LNG Conversion Job Slips Out of Seatrium’s Hands

Petronas Awards PSCs for Nine Fields and One Exploration Block off Malaysia

Sembcorp Signs 10-Year LNG Supply Contract with Chevron

CNOOC Brings Bohai Sea Oil Field On Stream

QatarEnergy Signs Deal with Shell for Long-Term LNG Supply to China

Current News

INEOS Wraps Up Acquisition of CNOOC’s US Oil and Gas Assets

Fire at Petronas Gas Pipeline in Malaysia Sends 63 to Hospital

Japan’s ENEOS Xplora, PVEP Ink Deal for Vietnam Offshore Block

CNOOC Makes Major Oil and Gas Discovery in South China Sea

Valeura’s Assets in Gulf of Thailand Remain Operational After Earthquake

Op-Ed: Kazakhstan’s National O&G Firm Positioning Itself as Global Energy Player

Woodside to Shed Some Trinidad and Tobago Assets for $206M

CNOOC Sees 11% Profit Growth in 2024 Driven by Record Oil Production

‘Ultra-Mega’ Offshore Deal for L&T at QatarEnergy LNG’s North Field Gas Scheme

Keel Laying for Wind Flyer Trimaran Crew Boat

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com