Balikpapan - PT Pertamina Hulu Indonesia (PHI) and its subsidiaries and affiliates recorded Domestic Component Level (TKDN) figures that far exceeded the government's target. The statement was made by President Director of PHI, Chalid Said Salim, at the Pre-Event of the Kalimantan Sulawesi National Capacity Forum 2022 (Pre-Kapnas). The three-day event kicked off today (6/21/2022) in Balikpapan, East Kalimantan.

Chalid conveyed the Company's commitment to continue creating significant value for the country, the Indonesian government, and Indonesian people through various innovations, technologies, synergy, and collaboration with all stakeholders.

"As of May 2022, Procurement Commitment Combined TKDN was recorded at 70.48% with a value of approximately Rp6 trillion, while Verified Result Combined TKDN reached 54.19% with approximately Rp2 trillion in value," said Chalid.

The Pre-Kapnas is a collaboration between Special Task Force for Upstream Oil and Gas Bussiness Activities (SKK Migas), Oil and Gas Contractors (KKKS), and Good and Services Providers. The event was attended by the Governor of East Kalimantan, Deputy Head of SKK Migas, Acting Deputy Procurement of SKK Migas, Head of Supply Chain Management and Cost Analysis (PRSAB) Division of SKK Migas, Head of SKK Migas Kalimantan Sulawesi Representative Office, and management of KKKS in the Kalimantan and Sulawesi Blocks. Eighteen national and local companies participated in the Upstream Oil and Gas Industry Exhibition and seventeen fostered partners took part in the MSME Exhibition. As many as 23 companies sponsored the event.

In his remarks, Chalid said this forum could support the efforts to maximize local or domestic potential in various upstream oil and gas projects. "We believe that with a good collaboration, we will be able to support the achievement of the national oil and gas production target of 1 million barrels of oil per day and 12 billion standard cubic feet of gas per day with a maximum TKDN achievement," he said.

Furthermore, Chalid said innovation by PHI worker, Ardian Fandika, produced the first import substitution TKDN that could meet the needs of the Company's oil and gas operations with world-class safety standards. This innovation, according to him, can improve the quality and utilization of domestic products in oil and gas operations through technical support of the domestic pipeline industry.

"This innovation was awarded Satyalancana Wira Karya by President Joko Widodo last year. It is the highest award given by the President of the Republic of Indonesia for innovations that bring considerable benefits to the nation and the country," he added.

Chalid expressed his gratitude to all stakeholders, especially the Provincial, District/City Governments, and company leaders who made this forum possible. "We would also thank SKK Migas Head Office and Kalimantan Sulawesi Regional Office for their support, direction, good coordination in organizing the Pre-Forum Kapnas Kalimantan Sulawesi event," said Chalid.

The Pre-Event of the Kalimantan Sulawesi National Capacity Forum 2022 exhibited various fostered upstream oil and gas industries to promote the awareness of maximizing the utilization of domestic goods/services to all KKKS and companies. The three-day event will present five Panel Discussions with speakers from the Regional Government, SKK Migas, KKKS, Goods/Services Providers, and MSMEs. In addition, there will also be presentations from Goods/Services Providers, Upstream Oil and Gas Industry Exhibition, and MSME Exhibition.

PT Pertamina Hulu Indonesia (PHI) is part of Pertamina's Upstream Subholding that manages upstream oil and gas operations and business according to Environment, Social, and Governance (ESG) principles in Region 3 Kalimantan. In 2021, through its subsidiaries and affiliates, PHI produced an average of 46.5 thousand barrels of oil per day (MBOPD) and 625.2 million standard cubic feet of gas per day (MMSCFD). To achieve its vision to be a world-class oil and gas company, PHI continues to create innovations and apply various technologies to produce safe, efficient, reliable, compliant, and environmentally friendly energy to support #EnergiKalimantanUntukIndonesia. PHI is headquartered in Jakarta. Further information about PHI is available at https://phi.pertamina.com.