Director and President of Perseso Nicke Widyawati (Photo: https://netral.news/)

Jakarta (VNA) – The state oil firm of Indonesia PT Pertamina (Persero) posted a net profit of 14 trillion Rp (1 billion USD) in 2020, according to its Director and President Nicke Widyawati.

The profit was obtained thanks to a number of initiatives to recover the firm’s production in the year.

Nicke said Persero has been under pressure from three concurrent shocks amid the COVID-19 pandemic, including a sharp drop in global crude oil prices, a weak rupiah exchange rate and a drop in demand.

In response to difficulties, Pertamina created oil reserves by buying in bulk and storing in land and floating warehouses, and this brought positive impacts on the firm’s financial operations.

According to Energy Watch, Pertamina’s success in making the 1-billion-USD profit amid the pandemic is inseparable from the company’s right business strategy.

The result was attributed to efforts to cut production costs and increase output.

The Indonesian Government paid a debt of 45 trillion rupiah to Persero, and this was a stimulus for Persero to gain better profits in 2020, it added./. 

VNA