Presentation for :
Corporate University
PT Pertamina (Persero)
Jln. Medan Merdeka Timur No.1A Jakarta 10110
Telp (62-21) 381 5111 Fax (62-21) 384 6865
http://www.pertamina.com
Agenda
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Agenda
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Pertamina’s Corporate Vision, Mission and Values
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Summary - Key Company Highlights
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Pertamina’s Business Process
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Agenda
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Pertamina’s Aspiration is To Be a Fortune 100 “Asian Energy Champion”
by 2025
Project & Technology Center: Technology leader on CBM, Geothermal, EOR and deepwater;
Strong project executor with delivery on time and within budget
Organization & Capability: Accountability and delivery; Employer of choice to attract and retain best talent
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The 2025 aspiration implies stepped-up revenues and capex
Revenues 116 4x
79
Bn USD
14 10-15
Annual capex 8 3x
requirement
Bn USD
2,200
Oil and gas 1,115
Production 5x
541
kboed
38
EBITDA 21
9x
Bn USD 8
Aspiration
• Leading Asian NOC with 2.2 mmboepd production Upstream 2025 Initiatives
• Leverage domestic resources in CBM, Shale Gas, Oil, Gas, and Geothermal
Key elements of the strategy Enabler for the success 1.
1 Reorganize Exploration,
Development & Technology to
• Extensive use of partnerships ensure delivery
• Domestic leadership in
O&G production with ~50% 2.
2 Complete basin review of existing
share of all domestic • Integrated exploration strategy, both in and domestic new acreage
production existing and new acreage 3.
3 Development of key projects e.g.,
Banyu Urip, Jambaran-Tiung Biru,
• International footprint with • Established semi-centralized exploration, Natuna
~30% of own O&G development and technology, staffed 4.
4 Establish “Pertamina Hulu Way” of
production outside of with appropriate talent production operation system
Indonesia across various assets
• Accelerated efforts in HR recruiting, 5.
5 Increase geothermal production
• Accelerate CBM/Shale Gas development and retention (Improve pricing, partnerships &
development to ~200 kbpd deliver on development plans)
(~1100 • New Pertamina Hulu Way for production 6. Accelerate CBM development,
6
• ) in 2025 operations system (e.g., replicate best including through partnerships
practice across various assets) 7.7 Transform PDSI into integrated
• Accelerate geothermal services Co
development to ~2.5 GW • Transform PDSI into an integrated 8. Develop a Hulu manpower &
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domestically upstream services company (e.g., recruitment plan
offshore drilling,etc)
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Gas Strategy to acheive Pertamina Aspiration in 2025
2025 aspiration to become Indonesia’s integrated gas player will be deployed through value creation strategy
Gas 2025 Initiatives
Description
1 Integrated infrastructure
• Develop roadmap for an integrated gas infrastructure in Indonesia
Integrated gas blueprint (Trans-Java
–a Sumatera: convert the Arun plant into a Re-gas facility; extend pipeline to
infra- connect Arun to Medan and beyond pipeline & regas, Arun
structure regas & pipeline) based
–b Jawa: meet current demand with FSRUs and future demand with inland Re-
and pricing on updated gas balance
gas; build trans-Jawa pipeline to optimize gas supply
–c East Indonesia, serve decentralized needs through mini receiving and Re-gas
facilities spread over strategic locations
• Negotiate higher gas prices with PGN to trigger additional supply 2 Roll out CNG for public
transport, heavy vehicles,
• Growing business around Natural Gas transmission & distribution, LPG private vehicles
processing and NGL
Expand along • Expand distribution to capture more margin ($2-3 per mmbtu vs. $0.7 per
value chain mmbtu for transmission) 3 Secure LNG for re-gas
facilities (both domestic
and international)
• Roll out CNG in Indonesia and seek government support (price setting, covering
Maximize 1st wave of infrastructure and conversion kits capex, and mandating conversion
downstream of public transports)
opportunities • Develop opportunities to serve households, refineries and other industries (e.g. 4 Build power generation
heavy vehicles in mining, shipping industry) business (geothermal,
renewable)
• Adopt global sourcing strategy for natural gas. Seek government support for
Global domestic sourcing, e.g. Bontang and Tangguh
sourcing • Build trading business to leverage storage resources (e.g. Arun) and optimize
and trading LNG procurement
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Refining Strategy to acheive Aspiration in 2025
• To meet Indonesia’s energy fuel • Expansion and upgrades: 3 • Build supply chain infrastructure,
requirement, Refining need to o Upgrade existing refineries to system and crude oil trading
competitively build refining increase complexity and margins; capabilities
capacity
o Build new refinery integrated with CCT
petchem to close domestic supply-
demand gap; 4 • Build new refineries integrated with
petchem through partnership
o Develop supply chain infrastructure GRR Balongan, East Java and
to increase operation flexibility and Government
optimize margin including crude oil
trading capability
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M&T Strategy toward Pertamina 2025
Build supply and distribution 11• Build world class fuel distribution facility example : upgrade
infrastructure blueprint to multiple depots, blending facilities at Sambu & Tanjung Uban,
support growing demand Boyolai – Madiun pipeline etc
(S&D and shipping) 12• Expand shipping business to new segments : LNG, upstream
O&G services and bulk
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5 HR key acceleration initiatives to achieve 2025 vision
Initiative Details
Upstream business • Work as one team with Business Directorates on separation of legal and operating
1 integrated org. structures in Upstream business; business development centralized in PIMR
structure
• Develop compelling technical career track to attract and retain world class talent,
Build world class
including building technical talent development program through leveraging senior
2 technical talent at
scale experts and encouraging knowledge transfer
• Launch technical/specialist track for GGR (Upstream) and Mechanical (Refining)
on Dec 2012
• Launch comben package and recognition programs for technical talents/specialists
• Acquire experienced hires for critical globally competitive skills through contract
separate track
• Aligned compensation policy across Pertamina group, directly linked with skill sets,
Skill-based& per-
roles and responsibilities
3 formance-based
compensation • Launch single grade program for SVP and VP on Q4 2012
• Internal capability building through structured program (incl. partnership and mentoring)
• Launch Business Academy: Upstream (GGRPF & Drilling) and Refining
4 Corporate University
(Maintenance & Reliability Management) on Dec 2012
• Partnerships with global Corporate University or other world class learning provider,
e.g. Insead, for selected skills’ learning program
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GA Directorate initiatives towards 2025
Aspiration GA Directorate 2025
Initiatives
Central provider of policy support, services, and best quality solutions for general affairs that is
equal to world class national energy company 1. Build independent
1
business unit (ICT and
Asset Management)
Key elements of strategy Enabler for the success 2. Monetize assets as part
2
of the establishment of
Make HSSE to be excellent in all Establish policy for ICT, HSSE, company’s profit
operational aspects Asset Management, Quality, and 3
3. Develop a smart, green
Procurement and iconic Office Center
Drive change based on ICT and shared
services Realize strategic partnership 4.
4 Comply with all standard
regulations
Optimize goods/services procurement 5.
5 Develop service based
using hybrid method Implement the best applied ICT architecture
practice of industry
6.
6 Continuous improvement
Focus on Business Supporting Assets of all aspects in the
(APU) to support the business management of GA
Implement world class
standard (ISO, CIP, PQA) 7
7. Embedded culture of
HSSE, Quality, ICT
Improve ownership and control of
land status completed by 2016 8.
8 Maintain good image of
Professional HR specific the company
competency through
Update office management and
certification, benchmarking, job
general services
training, etc
Central provider of GA solutions
Conduct Quality Assessment,
Improvement, and knowledge
management process properly and
consistently
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Agenda
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RJPP 2014-2018* highlights as stage towards Pertamina Aspiration 2025 (1/2)
* Subject to be revised by Management
(Draft per June 2014)
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RJPP 2014-2018* highlights as stage towards Pertamina Aspiration 2025 (2/2)
* Subject to be revised by Management
(Draft per June 2014)
Data cadangan geothermal merupakan total cadangan (P1+P2+P3), tidak termasuk hypotetical
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Thank You
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