PIEP Records Positive Performance in the 2023 Fiscal Year

Jakarta, May 9, 2024 - PT Pertamina Internasional EP (PIEP) has recorded oil and gas (migas) production exceeding targets set, thus expected to strengthen the national energy resilience.

In 2023, PIEP recorded good Key Performance Indicator (KPI) achievements, reaching 107%, and increased migas production compared to the previous year, as presented during the 2023 Annual General Meeting of Shareholders (RUPST) held at the Patra Jasa Office Tower, highlighting several company performance achievements.

Oil production exceeded the target by 109%, driven by contributions from Iraq and other assets in Gabon and Angola.

Meanwhile, gas production exceeded the target at 118%, with contributions from assets in Algeria, Malaysia, and Tanzania.

When combined in oil equivalent, production reached 216 thousand barrels of oil equivalent per day (KBOEPD), 112% higher than the 2023 company work plan and budget (RKAP) target.

"PIEP's performance will continue to be optimized in 2024 through various innovations. This implies that we must have a strong foundation to move further and achieve set targets," said the President Director of PIEP, Jaffee A. Suardin, after the 2023 RUPST in Jakarta on Monday (06/05).

Meanwhile, proven reserves (P1) amounted to 29 million barrels of oil equivalent (MMBOE), larger by 943% than the 2023 RKAP target of 3 MMBOE, while contingency reserves (2C) amounted to 11.1 MMBOE, larger by 320% than the 2023 RKAP target of 3.5 MMBOE.

In addition, in 2023, PIEP also recorded the approval of the extension of six Extended License Agreements (ELAs) in Algeria in December 2023.

Regarding Health, Safety, Security, & Environment (HSSE) performance, PIEP reported a Lost Time Incident rate (LTI) achievement of zero, realized by the end of 2023, and a total recordable incident rate (TRIR) also recorded zero, both still below the threshold.

Out of a total of 438 personnel, PIEP recorded 34.197 million accident-free hours. It is a remarkable achievement reflecting PIEP's high commitment to HSSE aspects.

Nevertheless, prioritizing a safety-focused work culture will always be a top priority in PIEP's operations.

"We continue to remind PIEP officers to adhere to the company regulations established for our collective safety. The journey to make PIEP a globally recognized company is still ongoing," said the Main Commissioner of PIEP, Dharmawan H. Samsu.

Although global oil prices in 2023 were lower compared to 2022, thanks to higher production achievements and cost efficiency efforts through the optimus program, the company in 2023 successfully recorded a net profit (entity owner) of 150% from the target and an EBITDA achievement in 2023 of 134% from the target.

"The positive performance of PIEP's operations is an effort to realize independence and strengthen national energy resilience. We have the spirit to 'bring the barrel home', meaning the results from overseas oil fields will return to the homeland. Additionally, we will strive for 'bring values home' where the produced migas are sold in the international spot market," concluded Jaffee.

Vice President of Corporate Communication of Pertamina, Fadjar Djoko Santoso, stated that Pertamina continues to show positive performance post-restructuring across all business lines.

"Restructuring has propelled Pertamina to be more agile, nimble, and adaptive. Thus, the performance of all business lines becomes more competitive," said Fadjar.**