Pertamina Expected To Acquire Rekind Late 2012

Jakarta, Nov 22 (ANTARA) - State Enterprises Minister Dahlan Iskan expects state oil and gas company Pertamina will have completed its acquisition of stake in state engineering and construction firm PT Rekayasa Industri (Rekind) before the end of this year. Pertamina needs to acquire Rekind to handle its large projects, including oil refineries and energy infrastructures which require engineering expertise, he said here on Wednesday. It is up for Pertamina to decide the amount of stake it will acquire from Rekind, he said. He added, however, that Pertamina will become the majority shareholder of the engineering and construction firm after the acquisition. Pertamina Director for Investment Planning and Risk Management Afdal Bahaudin said earlier the amount of stake will depend on the preparedness of state fertilizer firm PT Pupuk Indonesia Holding Company (PIHC) as the majority shareholder of PT Rekind. "We are ready to take over majority shares, depending on the government and Rekind as the majority shareholder," he said. Currently, Rekind is 90.06 percent owned by PIHC, 4.97 percent by state fertilizer firm PT Pupuk Kaltim and 4.97 percent by the Indonesian government. Dwijayanti Tjahjaningsih, the deputy for strategic industries and manufacturing to the state enterprises minister, said Pertamina has submitted a plan to take over Rekind to the government which holds minority shares in the company. "As the majority shareholder, PT Pupuk Indonesia will surely ask the other shareholders whether they are ready to release their stake to Pertamina," she said.