Current Updates

Offshore LNG Infrastructure Plans

September 2016

Kusdi WidodoGeneral Manager LNG

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2

Background

Company Overview

Market Overview

Pertamina Infrastructure

LNG Infrastructure Current Update & Plans

Challenges

Pertamina initiative at LNG distribution

Outline

LNG FOR DOMESTIC

BACKGROUND

INDONESIA LAW RELATED GAS BUSINESS

UU No. 30/2007 : Energy diversification program

Perpres No. 5/2006 : The energy mix with target

up to 30% by using gas 2025.

UU No. 22, 2001 unbundling Shipper &

Transporter, Pertamina formed Pertagas Niaga

ENERGY MIX INDONESIA

20%

30%33%

17%

Gas857 Mboe

47%

24%

24%

5%

Energy Mix Indonesia 2011

Coal

283 Mboe

NRE

59 Mboe

Oil

553 Mboe

Gas

283 Mboe

Energy Mix Indonesia 2025

Coal

943 Mboe

NRE

486 Mboe

Oil

571 Mboe

100% = 1,176 Mboe 100% = 2,857 Mboe

Legend :NRE : New Renewable EnergyMboe : Million Barrel Oil Equivalent

COMPANY OVERVIEW

INTEGRATED

UPSTREAM -

DOWNSTREAM

27,429EMPLOYEES

REVENUE

$70.6BILLION

PROFIT

$2.8BILLION

RANKED in FORTUNE 500 AND FIRST INDONESIA COMPANY IN FORTUNE 500

=

130th

2014 Key figures

Established - PT Perusahaan Minyak Nasional

(PERMINA)

Merger PERMINA & PERTAMIN to be PERTAMINA

Formed Gas Utilization Division

Established PT Pertamina Gas

Established PT Pertagas Niaga (PTGN)

(Shipper)

1957

1968

1989

2007

2010

COMPANY HISTORY – PERTAMINA – PERTAGAS NIAGA

Per Men ESDM 19/2009 - Unbundling scheme

(Transporter & shipper)2009

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

11,000

12,000

13,000

9,1218,9108,672

8,4538,260

7,881

6,769

5,994

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

5,1994,868

7,028

Indonesia Gas Balance in the High Supply Scenario

mmscfd Existing Others

Existing Pertamina

New others

New Pertamina

New discovery

LNG - allocated

LNG - potential

LNG imports - contracted

Source: Pertamina Gas Balance 2025_V 2014

HIGH SUPPLY CASE

• LNG allocations made to

NR, Lampung, Arun and

Banten, Jateng, Cilacap

• Potential LNG from Mozambique

Area 1 (HOA Signed), BG, Brunei

LNG, Total

Domestic gas

demand – High case

- Data Demand : Existing data + RUPTL

- Industrial Data : Existing, update for North Sumatera

- Data Update for CNG, City Gas, IPP & NRE based on Pertamina data

PERTAGAS NIAGA LINE OF BUSINESS

Piped Gas Distribution

LNG Business

Mini LNG Plant

(Future)

CNG Product

LNG for

Domestic Market

City Gas

LNG Bunkering LNG VGL LNG Cooling Down

521

225

183

32820

85

Indonesia Gas Market

49

824

106

Total 2,341 MMSCFD

* Industry & Power Market, Moderate number

SCFD

PERTAMINA INFRASTRUCTURE

PERTAMINA GAS ASSET

GAS PIPE INFRASTRUCTURE – EXISTING & ON PROGRESS

• Dimension : (JABAR)24” X 45 KM (Citarik - Nagrak )24” x 27 KM (TG – Nagrak)

• Consumer : Commercial

• Dimension :various size X 366 KM (Rambutan Pusri)

• Consumer : Commercial & Plant

Key LNG Project PERTAMINA GROUP

PT Badak NGLLocation :Bontang, Kalimantan

Design Capacity :22.5 MTPA

Total LNG Train :8 trains

(4 trains still operate)

PT Pertagas Niaga LNG for Mining’s Heavy

Eq. Vehicle ProjectLocation :East Kalimantan

Operator :Pertagas Niaga (100%)

Customer :Coal Companies, commercial

PT Arun NGLLocation :Lhokseumawe, Aceh

Design Capacity :12.5 MTPA

Total LNG Train :6 trains

Arun LNG Receiving & Regasification

Terminal Location : Lhokseumawe, Aceh

Capacity : 3 MTPA (400 MMSCFD)

Main Customer: PLN & Local Industries

* Will be integrated with Trans Sumatera Gas

Pipeline

Donggi Senoro LNG PlantLocation : Central Sulawesi

Capacity : 2 MTPA

COD : 2015

FSRU West JavaLocation : Jakarta Bay

Capacity : 3 MTPA (400 MMSCFD)

Project Owner : Pertamina (60%)

PGN (40%)

COD : May 2012

FSRU Central JavaLocation : Cilacap

Capacity : 3 MTPA (400 MMSCFD)

Project Owner : Pertamina Gas (min. 60%)

* Will be integrated with Trans Java Gas Pipeline

PT Pertagas NiagaSumbagut LNG

Retail by Using LNG ISO Tank TruckLocation : Sumbagut

Capacity : 14 MMSCFD

COD : 2016

EXISTING

PLANNED

FSRU BalikpapanLocation : Balikpapan

FSRU SorongLocation : Sorong

FSRU Ujung PandangLocation : Ujung Pandang

CHALLENGES IN LNG OFFSHORE INFRASTRUCTURE

1. Demand Certainty2. Cost allocation3. Permit-Licenses

LNG PlantPT Badak NGL

Filling Station

Trucking + ISOTank

LCT + ISOTank

LNG Storage Regas

Satellite terminal

Converter kit

Mining Customers

Power plant

Industry

SPA LNG PTGN - CUSTOMERS

CUSTOMERS

SCOPE PTGN

SPA LNG PTGN – LNG SELLER

LNG Domestic Business Model

Direct Business

Via Offtaker

Channel Option :

NEW FILLING STATION

PLANT-24

PT BADAK NGL

PLANT-26

LNG Filling Station:Plant-24 : capacity 1 ISO tank/ 9 daysPlant-26 : capacity 1 ISO tank/ day New Plant : More than 70 ISO tank/day

NEW PLANT CARGO DOCK

LCTGantry Crane

SEMI TRAILER

CARGO DOCK

Expertise at LNG Retail

BERAU COAL

INDOMINCO

BALCONY MALL1. Deliver by Truck 330 HP and ISO tank 20 ft.2. LNG Pilot Project:

a. Berau Coal = 500 Km or 3 Days (Aug’14, Mining Dump Truck Komatsu HD – 645 )

b. Indominco = 25 Km or 1 Hours (Dec ‘13, Mining Dump Truck Volvo)c. Balcony Mall (Balikpapan) = 240 Km or 12 Hours (Dec’14,Genset &

Chiller)d. Ciptra Kridatama = Kit has already installed (waiting for Trading

License from Ditjen Migas)

Truck Delivery

Loading Process

LNG Retail for Commercial Customer

LNG Retail for Mining

LNG Retail for Exploration

Trial Process LNG VGL

Cooling Down and Filling LNG ke VGL Cylinder

SAFETY ASPECTS:

Gloves Cryogenic

Overall Cryogenic

Safety Shoes

Helm

Goggles

Applications

Thank You