JAKARTA – EMP Bentu Limited, a subsidiary of PT Energi Mega Persada Tbk (ENRG), received a loan facility of USD 55 million from Deutsche Bank AG, Singapore Branch. It is intended to improve its working capital in oil and natural gas production.
In the information disclosure, Riri Hosniari Harahap, Corporate Secretary of Energi Mega Persada, revealed that the guarantees for this facility include several assets. They are EMPT Bentu’s account in Singapore, pledge of shares of PT Tunas Harapan Perkasa (THP), another subsidiary of ENRG, fiduciary guarantee over the income of natural gas sales-purchase agreement, and subordinated agreement act of THP and ENRG. “The loan interest is 6% + 1 month LIBOR USD per year, with the final instalment on July 30, 2025,” she added.
Currently, ENRG has short-term liabilities higher than its current assets. Therefore, this loan is meant to strengthen its working capital so that it can fund oil and gas exploration and operational activities. As of June 2021, total current assets amounted to USD 140 million, while short-term liabilities were USD 375 million.
The company also has the right to explore and develop oil and gas wells on a 22,000 km area in Indonesia and Mozambique, Africa. The participating interests managed by ENRG include eight work areas. They are Bentu, Korinci Baru, Malacca Strait, Tonga and Gebang, Kangean, Sangatta, East Kalimantan, and Buzi, Mozambique. (LK/ZH)