Benakat puts Elnusa for sale - Insider Stories

Oil and gas producer PT Benakat Petroleum Energy Tbk (BIPI) aims to sell shareholding in PT Elnusa Tbk (ELSA) in a bid to pay back short term promissory notes maturing on March 12 2011.

According to Benakat Director Firlie Ganindito, as reported by Kontan today, said contribution from Elnusa, integrated oil and gas services operator, is not in line with Benakat's expectation.

"When we acquired Elnusa, Benakat was considering to stay in the long term. However, the situation is not in line what we expected," Firlie said.

Previously, Elnusa acquisition would pave ways for Benakat to grab contracts in oil and gas sector. For sure, Benakat hasn't obtained the expectation yet.

Benakat had officially controlled 37.15% shareholding in Elnusa in July last year after it bought from PT Tridaya Esta, a company controlled by Indonesian businessman Anton Sugiono, who is also controlling shareholder in PT Duta Graha Tbk (DGIK), a property developer.

Benakat issued Rp894.81 billion promissory notes to its controlling shareholder PT Indotambang Perkasa. About Rp302.5 billion was paid back by Benakat in the third quarter of last year and the remaining will mature on March 12 2011. Benakat shall consider to dispose 24.6% stake in Elnusa to pay the notes.

BIPI pledged 12.55% stake in Elnusa to Amadia Investment last year in a bid to secure US$30 million or Rp270 billion financing. Benakat also pledged stake in PT Delta Samudra, a company focusing in coal trading.