Jakarta, Indonesianpost.com – PT Pertamina signed a memorandum of understanding (MoU) with the Guma Africa Group Limited for a strategic alliance for potential projects in the upstream and downstream oil and gas business in Africa.
The collaboration is also carried out to realize national energy independence and strengthen Pertamina’s activities abroad.
President Director of Pertamina Nicke Widyawati stated that the signing strengthened collaboration between Indonesia and Africa, which had earlier been concluded with a government-to-government (G-to-G) agreement during the visit of President of Indonesia Joko Widodo and several Indonesian Cabinet ministers to various countries in Africa in August 2023.
“We really appreciate the government, so that Pertamina can have a good track record over the past 5-10 years. We hope to be able to apply the competence and experience that Pertamina has in Indonesia to be applied in Africa,” Widyawati noted in a statement from Pertamina in Jakarta, Friday.
The signing was conducted by the Director of Strategy, Portfolio and Business Development of Pertamina A. Salyadi Saputra and Executive Chairman of the Guma Africa Group Limited Robert Gumede and witnessed by President Director of Pertamina Nicke Widyawati at the Grha Pertamina in Jakarta, Thursday (Sept 28).
Through this signing, she stated that both parties were able to maximize opportunities to achieve economic growth and energy security both in Indonesia and Africa.
“It is our shared hope that this collaboration can bring benefits to all parties, especially to Pertamina and Indonesia, because we have the spirit of bringing the barrels home, meaning that Pertamina’s expansion abroad must bring benefits to Indonesia,” Widyawati remarked.
Meanwhile, Executive Chairman of Guma Africa Group Limited, Robert Gumede, stated that the signing was a good momentum. Pertamina will help Africa in terms of exploration, processing, and importing natural resource products, with the principles of cost-effectiveness and efficiency.
“What Pertamina has taught, we will do in African countries, where we also have sources of oil and gas and new renewable energy. We are very happy with this collaboration because it is a mutually beneficial collaboration,” Gumede remarked.
Pertamina’s MoU with Guma adds to the former international activities, especially in the African region. During Pertamina’s earlier visit to Africa, alongside President Joko Widodo’s visit, it had initiated collaboration with several business partners in Africa for upstream to downstream oil and gas development, including new and renewable energy sources, such as geothermal.
Pertamina estimates that the total potential investment in the collaboration is estimated to reach US$2.6 billion, or around Rp40 trillion. The collaboration was carried out in Kenya, Tanzania, Mozambique, and South Africa.
Widyawati explained that the African region is a business that Pertamina needs. Apart from going global, it also increases production and plays a role in energy transition.
“Spirit brings the barrel home, and Pertamina’s footprint in the upstream sector to increase production is so that it can be processed at Pertamina’s domestic refineries to increase our national energy security,” she stated.