JAKARTA (Yosefardi) – State-owned gas distribution and transmission company PT Perusahaan Gas Negara (PGN) Tbk (PGAS) targets to secure US$650 million loan facility by early next month.
The loan with tenor 5 years will be used to fund its business expansion. It has reportedly invited ANZ, Bank of Tokyo-Mitsubishi UFJ, Citigroup, HSBC, and Sumitomo Mitsui Banking Corporation to provide the syndicated loan.
The company had issued foreign currency bonds worth US$1.35 billion with tenor of 10 years. PGAS allocates capital expenditure (capex) of US$1.25 billion for this year.
The company allocates US$200 million for developing integrated natural gas infrastructure and to spend US$400 million for developing its liquefied natural gas (LNG) business. While some US$650 million is allocated for upstream business.