More Agile, Focused and Fast, This Is Pertamina's new Organization Set by the General Meeting of Shareholders

Jakarta, June 12, 2020 - In accordance with the transformation roadmap of Ministry of State-Owned Enterprises (SOE) that has been compiled since 2016 as a reference for creating independence, prosperity, sustainability, equity, and equality of SOE, Pertamina has succeeded in realizing and continuing the process of transformation and formation of SOE Oil and Gas Holding, which has run based on White Book on the Establishment of Oil and Gas Holding in January 2018.

The continuation of the process is carried out through organizational changes as well as the composition of Pertamina's Directors following the General Meeting of Shareholders of the Company of PT Pertamina (Persero). It is stated in a copy of SOE Ministerial Decree number SK-198 / MBU / 06/2020, concerning Dismissal, Changes in Nomenclature of Position, Transfer of Duties and Appointment of Directors of PT Pertamina, dated June 12, 2020.

In the Decree, the shareholders set changes towards the organizational structure of the Directors, which initially consist of 11 people to 6 people in which some of them also experienced changes in nomenclature. The new structure of Pertamina's Board of Directors consist of :

1. President Director: Nicke Widyawati

2. Director of Human Capital: Koeshartanto

3. Finance Director: Emma Sri Martini

4. Business Support Director: M. Haryo Yunianto

5. Director of Logistics & Infrastructure: Mulyono

6. Director of Strategy, Portfolio, and Business Development: Iman Rachman

While the operational directorate, which was previously present in Pertamina, will enter into several subholdings that have been formed. It includes Upstream subholding, Refinery & Petrochemical subholding, Commercial & Trading subholding, Power & New and Renewable Energy subholding, and Shipping Company. All of these sub holdings will conduct business together with Gas subholding, which had previously been formed under Pertamina through PT Perusahaan Gas Negara Tbk since 2018.

Thus, in general, Pertamina's duties as a holding will be directed at managing portfolio and business synergy throughout the Pertamina Group. It includes accelerating the development of new businesses and carrying out national programs. Meanwhile, the sub holdings will play a role in encouraging operational excellence through developing the scale and synergy of each business, accelerating business development and existing business capabilities, as well as increasing capabilities and flexibility in partnerships and funding that will benefit the company.

Pertamina hoped to become more agile, focused, and fast in developing world-class capabilities in its respective businesses from this transformation. Therefore, Pertamina can accelerate business-scale growth and become a leading global energy company with a market value of $100bn, thus becoming a driver of social development in the year 2024.

Pertamina Corporate Communication VP, Fajriyah Usman explained, Pertamina would utilize the new normal momentum, which demanded that Pertamina conduct business in a new way to get the best results. This organizational change expands Pertamina's business portfolio in the future. It moves the business development outside the conventional energy value chain, such as renewable energy, biofuels, and digital technology.

"This is part of business transformation like several other world-class energy companies which have succeeded in increasing the value of their companies, such as Total, ExxonMobil, and Petronas. The process of change will be carried out systematically through a roadmap that was prepared with the best effort. Pertamina is serious about maintaining a sustainable working relationship with all Pertamina workers," said Fajriyah.

Fajriyah asserted, this transformation requires organizational renewal, work culture, mindset, and talent, so all goals and targets can be achieved. With the support of all parties, Pertamina hopes that the aspirations to be a global energy champion will soon be realized.***