#1pgn Dgn PT Perusahaan Gas Negara Tbk T pgn energy for life A member of Pertamina INVESTOR PRESENTATION 9M-2018 Update www.pgn.co.id#2DISCLAIMER The information contained in our presentation is intended solely for your personal reference. In addition, such information contains projections and forward-looking statements that reflect the Company's current views with respect to future events and financial performance. These views are based on assumptions subject to various risk. No assurance can be given that further events will occur, that projections will be achieved, or that the Company's assumptions are correct. Actual results may differ materially from those projected. ABOUT PGAS PT Perusahaan Gas Negara Tbk (IDX:PGAS) is an Indonesia-based, public-listed company engaging in the transmission and distribution of natural gas primarily in Indonesia. Previously established as a State-Owned Company (SOE), PGAS has been officially merged with PT Pertamina (Persero) to become its subsidiary since 11 April 2018 as part of Government of Indonesia's holding initiatives. HEADQUARTER JI. K.H. Zainul Arifin No. 20 Jakarta, Indonesia Website: www.pgn.co.id Investor Relations Contact: PT Perusahaan Gas Negara Tbk Mid Tower Manhattan 26th Floor Jl. TB Simatupang Kav. 1-S, Jakarta, Indonesia Email: [email protected] Phone: +62 21 8064 1111 2#3Company Introduction VISION Becoming the International Standardized Solution for the Utilization of Gas and the Sustaining Energy Fulfilment MISSION We are committed to: ■ Provide and develop gas utilization for public and public interest " Implementing responsible and sustainable corporate governance principles ■ Carry out other business to support the use of gas and sustainable business management. Type Index Public IDX:PGAS PT Saka Energi Indonesia 100% THE REPUBLIC OF INDONESIA 56.96% PERTAMINA 1 SERIE A pgn energy for life 43.04% Group Structure PUBLIC PT Pertamina Gas* (in-process) 99.99% PT Gagas Energi Indonesia 51% PT Transportasi Gas Indonesia PT PGN LNG Indonesia 59.87% 99.88% 99.99% Saka Indonesia Pangkah Ltd Pertagas Niaga* Widar PT PGAS Telekomunikasi Nusantara 99.93% PT Nusantara Regas 40% Founded 13 May 1965 Saka Energi Headquarter Jakarta Wokam CEO Gigih Prakoso Saka Energi Industry Gas Transmission and Sanga Saka Energi Sumatera Sanga Ltd Distribution Saka Energi Subsidiaries 8 Saka Energi Saka Indonesia Bangkanai Muriah Sesulu Barat Ltd Total Assets No. Employees USD 6.3 Billion (2017) 1,339 (2017) Notes: 395 Subs Secondees Saka Energi Fasken LLC Saka Ketapang Perdana Saka Bangkanai Telemedia Dinamika Sarana KJG PGAS International Saka Energi Muara Bakau PT PGAS Solution 99.91% PT Permata Graha Nusantara 99.98% Perkasa Sena Klemantan Notes: * Pending Completion of the conditional requirement CSPA signed on 29 June 2018 3#4Business Coverage & Infrastructures Pipeline Network Distribution 5.233 km Transmission 2.284 km Non-Pipe Gas Infrastructure CNC 2 FSRU (Lampung dan Jawa Barat) ■ 4 MRU (DKI, Gresik, Bandung) ■1 Cluster CNG (Jateng) ■ 12 Gas Fueling Station (DKI, Bogor, Sukabumi, Purwakarta, Surabaya, Batam, Lampung) Tarakan Distribution Business Buying and selling gas to customers through pipeline infrastructure in three main areas in West Java, East Java and North Sumatera. Transporting gas of customers; suppliers or off-takers through pipeline. The pipeline can also be function as the backbone to distribution pipeline. ■ Operating in 3 Major Coverage Area, 39 cities and regencies (12 provinces) in Indonesia Transporting and Distributing Gas ±1,566 MMSCFD Downstream Business " Sorong Gas Infrastructure Developing ±7,517 km length pipeline network, 2 unit FSRU, 12 Gas Fueling Station, 4 MRU ■ Upstream Business Total assets 11 blocks (6 blocks in operation, 5 blocks in exploration) " Oil and gas lifting ±40,602 BOEPD Transmission Pipeline 1 Grissik - Duri 2 Grissik Batam - Singapore CNG 3 South Sumatra - West Java (SSWJ) 4 Kalimantan - Java (Kalija) Transmission Business Upstream Business Distribution Area ■ West Java, DKI Jakarta, Lampung, South Sumatra and Banten ■ East Java and Central Java, North Kalimantan and Papua ■ North Sumatra, Riau and Kepulauan Riau Investing participating interest in PSC and operating oil and gas blocks to support Indonesia production and lifting Taking business opportunities along the natural gas value chain; LNG, CNG, related gas business services, fiber optic and asset management Other Supporting Business#5• • Upstream Assets Bangkanai PSC Location: onshore Kutei basin Participating Interest: 30% • • • Operator & Partner: OPHIR (70%) • . Expiry: Dec 2033 . West Bangkanai PSC • Location: onshore Kutei basin • • Participating Interest :30% Operator & Partne: OPHIR (70%) • Expiry: May 2043 . Muara Bakau PSC Location offshore Kutei basin Participating Interest: 11.666% Operator: ENI (55%) Partners: Engie (33.334%) Expiry: Dec 2032 Pekawai PSC ⚫ Location: Kutei basin Participating Interest: 100% Operator: PGN Saka Expiry: May 2048 Sanga Sanga PSC • Location: onshore Kutei basin Participating Interest: 37.8125% Joint Operatorship: VICO (Joint PGN Saka & ENI) Partner: CPC (20%) & Japex (4.4%) 1⚫ Expired on August 7, 2018 Kutei Hub Java Sea Hub Southeast Sumatra (SES) PSC Location offshore south east Sumatra 1. Participating Interest: 8,91% Operator: CNOOC (66%) Partners: Pertamina (20%), KUFPEC (5%) Expired on September 2018 Muriah PSC • Location: offshore Java sea Participating Interest: 20% Operator & Partner: Petronas (80%) • Expiry: 2021 • • . • West Yamdena PSC Location: offshore Maluku Participating Interest: 100% • Operator: PGN Saka • Expiry: May 2048 Pangkah PSC Location: offshore East Java • • Ketapang PSC Location: offshore East Java Participating Interest: 20% Participating Interest: 100% • Operator & Partner: Operator: PGN Saka Petronas (80%) Expiry: May 2026 • Expiry: June 2028 South Sesulu PSC • Location: offshore Kutei basin • Kepemilikan: 100% • International Asset Fasken Location: Webb County, Texas Participating Interest: 36% Operator & Partner: Swift Energy (64%) • Expiry: 2050 • • Operator: PGN Saka • Expiry: June 2039 Wokam II PSC Location: offshore Papua Participating Interest: 100% Operator: PGN Saka Production Exploration Development/ Discovery Expiry: Dec 2040 5#6Million USD Million USD 9M-2018 Highlights 3.000 2.000 2.445 2.165 Consolidated Statement of Comprehensive Income 1.760 1.605 ■9M-2017 ■9M-2018 Stronger Distribution Volume by 11% (YoY) Increasing Revenue, EBITDA & Net Income Stable Margin (within Guideline) 1.000 8.000 684 701 DOWNSTREAM UPSTREAM 560 390 632 218 268 98 Distribution Volume Revenues Cost of Revenues Gross Profit Operating Income Net Income EBITDA 849 MMSCFD (YOY up 11%) Overall net lifting ±40,602 BOEPD (YoY up 1%) Transmission Volume • Consolidated Statements of Financial Position Oil 8,232 BOEPD 12 M 2017 ■9M 2018 718 MMSCFD (YOY down 3%) (Incl. TGI & KJG) • Gas 123 BBTUD • LNG 59 BBTUD • LPG 92 MTPD 6.661 6.293 6.000 4.485 4.167 4.000 2.494 2.000 1.808 Sales Price 3.345 3.316 2.763 3.106 3.187 2.640 $ ~USD 8.36/MMBTU (YOY down 2%) Cost of Gas 582 ~USD 6.09/MMBTU (YOY up 1%) (incl. LNG) 467 Current Assets Non Current Total Assets Assets Current Liabilities Non Current Liabilities Total Liabilities Total Equity Revenue Contribution 80% 18% 2% EBITDA Contribution 59% 41% ■ INFRASTRUCTURE Pipeline Network +7,517 km (+64km of pipeline) IMPACT OF MACROECONOMY ■ Weakening Rupiah against US Dollar ■ Stronger power demand and sustainable industry recovery Tightening Government's Policy ■ Distribution Upstream Others Distribution & Others Upstream Higher oil price 6#7Strong Cash Balance Positive cash-flow Maintaining DER stable (less than 1) Financial Performance Financial Ratios EBITDA Margin (%) EBITDA / Interest Expense (x) Debt (Interest Bearing Debt)/Equity (%) 30 September 2018 28.7 7.33 74.5 30 September 2017 29.2 5.91 76.1 30 September 30 September Cash Flow (In Million USD) 2018 2017 Beginning Balance 1.026 1.304 Total Loan USD 2.48 Billion Weighted Average Interest Rate 4.36% (Excl. Tax) ■Fixed 95% Float 5% 0 USD 86% JPY 14% As of 30 September 2018 Cash flow from operating 620 546 Credit Rating Rating Outlook Cash flow from investment 26 (232) Moody's Baa2 Stable Cash flow from financing 18 (662) Standar & Poor's BBB- Negative Fitch Ratings BBB- Stable Foreign Exchange Impact (39) Pefindo idAAA Stable Ending Balance 1.651 956 7#8Contribution - Distribution Distribution Volume 900 824 850 800 750 700 650 600 (MMscfd) 865 Year-on-Year Basis +11% 849 Growth In Gas Sales 802 803 772 767 550 500 2013 2014 2015 2016 2017 9M-2017 9M-2018 Wood 0,04% Lifting Oil 0,24% Cement 0,35% CNG ■1% Textile 2% Basic Metal 3% Others 3% Paper 5% Glass 5% Fabricated Metal 6% Food Ceramic Chemical Power Plant 9% 10% 14% High power consumption by 21% • Sustainable industry recovery by 4% Natural gas more competitive against all oil products Industrial Consumption of Total Sales Volume Five Biggest Segments Number of Customers As of 30 September 2018 Commercials, Industries and Power 99.5% of total sales volume 2,277 Customers (+35 customers) Households and Small Businesses 0.5% of total sales volume 41% 201,647 Customers (+7.668 customers) Natural Gas Price vs Other Alternative Fuels Natural Gas avg PGN 8,36 PGN Average Selling Price LPG - 3 kg (Subsidized) 9,16 +9% MFO 180 20,62 +146 % LPG - 50 kg 19,98 +138% Kerosene 20,11 +140% IDO/MDF/MDO 26,60 +218% Gasoline 88 25,16 +200% LPG - 12 kg 26,73 +219% HSD 29,47 +252% Exchange Rate IDR/USD: 14,929 (as of 30 Sept 2018) USD/MMBTU#9Operated by PGN ■ Total Length: ±1,077km (incl. SSWJ) ■ Off-taker: PLN, BBG ■ Volume 25 MMScfd Contribution- Downstream Transmission 900 854 852 Transmission Volume Operated by TGI 850 789 795 ■ Total Length: ± 1,000 km 800 ■ Off-taker: CPI, Gas Supply Pvt. Ltd., PGN, PLN 750 ■ Total Volume: 642 MMScfd ■ Gas transported by TGI to off-taker in Singapore and Batam decreased 11 MMScfd from 653 to 642 MMScfd. 700 (MMscfd) -3% 733 737 718 Year-on-Year Basis Lower Transmission 650 Volume by 3% 600 Decreasing TGI & KJG Volume 550 Operated by KJG Increasing PGN Volume 500 ☐ Total Length: ± 200 km (Kepodang- Tambak Lorok) 2013 2014 2015 2016 2017 9M-2017 9M-2018 ■ Off-taker: PLN ☐ Volume 51 MMScfd ■ Gas transported from Kepodang field operated by - Petronas through Kalimantan – Java pipeline decreased 25 MMScfd from 76 to 51 MMScfd due to declining reserve from supplier 9#10Contribution - Upstream Higher Lifting Volume Substantial LNG increase from Muara Bakau Continuous lower Pangkah production due to facility repair Expiry of Sanga-Sanga PSC in August 2018 & SES PSC in September 2018 Oil and Gas Lifting 40,169 boepd 40,602 boepd +1% Crude Oil & Condensate (MMBBL) 2017-9M 0,89 SES Pangkah 4.526 24.476 10.163 21.138 1.829 1.069 9.338 8.232 9M 2017 ■LNG Sanga-Sanga Ketapang SES Pangkah 2018-9M 2017-9M 2018-9M 2017-9M 2018-9M 0,37 0,46 2017-9M 0,44 2018-9M 0,42 0,76 0,76 0,70 Gas (BBTU) LNG (BBTU) 2017-9M 13.198 2018-9M 9.367 2017-9M 1.065 2018-9M 1.097 Fasken 2017-9M 14.530 Sanga-Sanga Muara Bakau 2017-9M 2.381 2018-9M 14.113 2017-9M 4.786 2018-9M 1.979 2018-9M 14.716 Sanga- Sanga Bangkanai Muriah Ketapang 2017-9M 1.655 2018-9M 1.991 2017-9M 3.804 9M-2017 Total LNG Lifting 7.167 9M-2018 16.093 LPG (MT) 2018-9M 2.533 2017-9M 1.174 2018-9M 1.382 2017-9M 3.331 2018-9M 2.383 Sanga-Sanga Pangkah 2017-9M 41.131 2018-9M 23.260 2017-9M 1.903 2018-9M 1.909 9M-2017 9M-2018 38.756 33.470 Total LPG Lifting 9M-2017 9M-2018 43.034 25.169 9M 2018 Total Crude Oil Lifting 9M-2017 9M-2018 2.55 2.25 Total Gas Lifting ■Gas LPG ■Oil 10#11Contribution - Others +13% USD 53 Million USD 60 Million 7% 14% 79% 9M 2017 31% 17% 52% Maintaining positive revenue contribution from subsidiaries Finance Lease represents KJG's interest in relation to finance lease under the gas transportation agreement between KJG, PLN and PC Muriah Ltd. Fibre optic represents PGASCOM's revenues of network services to the customers Pipeline construction and maintenance represents PGASSOL's revenues of services to its the customers. 9M 2018 Construction & Maintenance (PGASSOL) Fibre Optic (PGASKOM) Finance Lease (KJG) 11#12Infrastructure & Market Development ■ Market development by construction of distribution backbone ■ Delivering gas to RD by developing pipeline or modifying system in station ■ Customer attachment to build acccess until last mile Market Development in Dumai 16"& 24" 119 km Potential of 95 MMscfd Plan of Operation: 2018 Market Development in Subang 8-16" 15 km Potential of 5.38 MMscfd Plan of operation : 2019 Customer Attachment RD III Potential of 2 MMscfd Plan of operation: 2018 Tarakan Market Development in Gresik, Lamongan and Tuban Phase 1: 24" - 11.5 km Potential of 36 MMscfd Plan of Operation: 2018 Customer Attachment RD II Potential of 2 MMscfd; Plan of Operation : 2018 Customer Attachment RD I Potential of 6 MMscfd; Plan of Operation: 2018 Development of Gas Infrastructure in West Java 6-12": 39 km; Reserved capacity of 14.30 MMscfd Sorong 12#132018 Targets - Guidelines for Investors Organic PGAS only & Subject to Change Distribution Volume 775 MMSCFD Gagas RD 3 RD 2 RD 1 Transmission Volume 665 MMSCFD PGN KJG Total CAPEX USD 400 Million Downstream 40% Upstream 60% Margin/Spread USD 2.2 -2.5/MMBTU Realized Oil Price USD 67/barrel (PGN's 1st Semester 2018) TGI Upstream Lifting 35,435 BOEPD Lower due to expiry of Sanga-Sanga & SES in 2018 Duri - Dumai Distribution 56 km length of pipeline Duri Dumai Transmission 67 km length of pipeline JV with Pertagas 13#14Government Regulations DOWNSTREAM PIPELINE GAS PRICE Households & Small Costumers (stipulated by Regulatory Body) EMR Ministerial Regulation (PERMEN ESDM) Industry and Electricity Provider • No. 58/2017 Gas for Transportation • (stipulated by Minister)stipulated Weighted Average of End User = Cost of Gas + Infrastructure Management Cost + Trading Cost Infrastructure Management Cost Toll fee stipulated by regulatory body Gas distribution setup by: IRR 11%, 60% utilization/gas allocation & project economics Liquefaction Compression Regasification Infrastructure Management Formula = Cost of Service / Volume Cost of Service are: • Asset value • O&M • G&A • Gas Losses LNG/CNG storage & transportation Insurance ⚫ Fee • Tax and levy Trading Cost Implementation • Maximum 7% of cost of • gas Industry and Electricity provider • The maximum percentage should be shared B2B in extended gas supply chain gas price stipulated by Minister of EMR • Prevail for 5 years and open to be evaluated per annum • 18 months grace period from date of signatory (27 December 2017) EMR Ministerial Regulation (PERMEN ESDM) No. 4/2018 Transmission Segment . • Based on: gas source, market and gas infrastructure condition Segment evaluation and appointment stipulated by regulatory body Masterplan of Natural Gas Transmission and Distribution Network Facilities and Supporting Infrastructure for Gas Utilization . Minister allow consumer to build and operate an own pipeline gas and facility with consideration of gas source, availability infrastructure and unavailable demand for 5 years • The consumer will not be given gas transportation special right . • Transmission Transporter should acquired business permit including owning pipeline and facility Special right of new transmission segment will be awarded in tender mechanism or minister appointment • Downstream Gas Business Distribution and Trading Area The holder of distribution network special right will be given distribution and trading area including gas allocation from tender proposal • The special right exclusively for 30 years for new area and 15 years for existing infrastructure owner • Area tender mechanism will consider existing infrastructure and consumer Special right holder can cooperate with other to directly selling gas to end user in sub trading area Non Pipeline Trading Trader using CNG and LNG mode should acquire business permit and owning or controlling the asset • Asset categorized as LNG receiving terminal, regasification unit, compression and decompression facility, gas filling station or else • . Non Pipeline Transportation and Storage Permit for transportation and storage including: CNG or LNG transportation, CNG or LNG storage Business licencee have to own or control the facility 14#15Oil & Gas Holding Gas Sub Holding Business Scope | I I 28 Nov 2017 25 Jan 2018 Ministry of SOES Request Letter for PGN's Extraordinary GM No. S-682/MBU/2017 PGN's Extraordinary GM Recent Event - Oil & Gas Holding Integration Pertagas into PGN Corporate Actions Shareholder's Actions On-going process Completed PGN subs of Pertamina PERTAMINA Sourcing Strategy PGN Valuation of Pertagas Changes of Articles of Association 29 June 2018 Signing of CSPA 26 Apr 2018 Shareholders Approval (AGM) Target Completion 28 Feb 2018 Ministry of SOEs Government Regulation (PP 6/2018) 28 Mar 2018 PERTAMINA Changes of Articles of Association Decree of MoF (No.286) 13 Apr 2018 Shareholders Approval PGN's Strategic Focus on Gas pgn energy for life A member of Pertamina Legend TBC PGN's business line PTG & PTGN's business line Sourcing Execution Retail and Transmission Distribution Trading Storage & Processing Gas Utilities Support Others Pertamina as O&G Holding Co and Integration of Pertagas into PGN ■ In line with the Government's Oil and Gas Holding strategy, PGN's as Pertamina's subsidiary will act as the gas subholdco managing integrated gas businesses (midstream and downstream) Through the acquisition of Pertagas (PTG) and Pertagas Niaga (PTGN), PGN's will strengthen their transmission, distribution, retail and trading business lines by consolidating PTG and PTGN's operations 16#16Subsidiaries & Affiliates pgn SAKA power to discover pgn LNG born to make it happen pgn GAGAS brings energy to you Notes: * PERTAMINA GAS Igniting Brighter Future *Pending Completion of the conditional requirement CSPA signed on 29 June 2018 pgn energy for life Transgasindo energy connect synergy NUSANTARA REGAS a joint venture company between PERTAMINA & PGN pgn SOLUTION action for excellence pgn MAS pgn.COM commitment to service always reliable#17Type Founded Subsidiary - Saka Energi Indonesia pgn SAKA power to discover Asset maturity Assets Classified by Total Assets1 5% of Total Assets comprised from Exploration assets, with one gas discovery in South Sesulu 5% South Sesulu PSC Offshore East Kalimantan Wokam II PSC Offshore West Papua West Bangkanai PSC O Central Kalimantan Pekawai PSC Offshore and Onshore East Kalimantan Private 27 June 2011 Headquarter Jakarta CEO Industry Tumbur Parlindungan Oil & Gas Upstream West Yamdena PSC Offshore and Onshore Maluku 4.6% 0.2% 0.2% 0.03% Subsidiaries 25 0.03% Total Assets USD 2.6 Billion (2017) No. Employees 302 (2017) powar saver pgn SAKA pgn SAKA ophir pgn power to da saver SAKA pgn SAKA save Website www.sakaenergi.com Ketapang PSC Pangkah PSC² Offshore East Java Bangkanai PSC Onshore Kalimantan Offshore East Jav Fasken Eagle Ford, Texas 17 0.2% 0.2% Southeast Sumatra PSC Offshore South East Sumatra Expiring September 2018 14.1% 1.4% 36.1% 7.7% Muriah PSC Offshore East Java Sanga Sanga PSC³ Onshore Kallmantan Expiring August 7, 2018 5.5% 30% Muara Bakau PSC Offshore East Kalimantan 95% 95% of Total Assets comprised from Production assets, 2 PSC's are expiring in 2018 eni ophir pgn SAKA SilverBow power to as co RESOURCESS PETRONAS PETRONAS pgn SAKA power door Operator Exploration Business Updates *Notes: 1. Pangkah PSC has additional upside for near term production and reserve growth potentials through development and exploration. Development 2. Muara Bakau block starts producing 4. by first half 2017. Total production in Q3-2018: 667 MMScfd 3. Sanga-sanga PSC and SES PSC expired in Q3 2018 5. Production Force Majeure status of Kepodang Field in Muriah PSC due to unexpected declining amount of reserve and lifetime of production is still under reviewed by SKK Migas. SEI has 20% of PI This year, Saka has appointed to manage two new oil and gas blocks, namely Pekawai Block and West Yamdena Block#18Туре Subsidiary PGN LNG Indonesia pgn LNG Private born to make it happen LNG Volume 9M-2018 3 BBTud PGN FSRU LAMPUNG 294 m LOA ⚫ Leased for 20 years based on the Amendment and Restatement Agreement of the Original Lease, Operation and Maintenance Agreement dated 17 October 2012 as novated to PT PGN LNG Indonesia Pipeline Spesification 24", API 5L (SAWL) X-65 (PSL 2) Capacity: 1,5 to 2 MTPA Founded 26 June 2012 FSRU Dimension Headquarter Jakarta PGN FSRU Lampung: • Owned by PT Hoegh LNG Lampung CEO Mugiono Industry LNG Regasification Subsidiaries Total Assets No. Employees Website USD 415 Million (2017) 48 (2017) www.pgnlng.co.id 26 m Depth Moulded Send out rate: 240 MMSCFD Supported by: Tower Yoke Mooring System (TYMS) Owned by PT PGN LNG Indonesia Build by SOFEC, China Seabed : 23 m • Height: 48,5 m (from seabed to topdeck of TYMS) TYMS contains two axis joint that allow the vessel to roll and pitch relative to the tower and liquid ballast to provide restoring forces to mooring and the vessel Onshore Receving Facility (ORF) Labuhan Maringgai that is connected to the PGN FSRU Lampung through a 21 km offshore pipeline Off Take Station (OTS) Labuhan Maringgai Supporting fleets in order to support ship-to-ship activity and daily operation of PGN FSRU Lampung FSRU is located approximately close to gas receiving and dividing station Labuhan Maringgai or exactly at the coordinates 5°26'30" S and 150°56'30" E. It is integrated with SSWJ pipeline facility connecting gas sources in Sumatera with the largest potential customers in West Java, Indonesia. 18#19Subsidiary - Gagas Energi Indonesia BUSINESS UPDATES 9M-2018 VOLUME 6 MMSCFD : 10 SPBG & 3 MRU Regional I Regional II Regional III : 1 SPBG & 1 MRU : 1 SPBG & 1 Gas Distribution Network Gas Distribution Pekanbaru SPBG Batam SPBG Lampung SPBG Klender SPBG Cilegon SPBG Ancol MRU Gaslink Monas SPBG PGN Pluit gasku 24 F MRU Bandung SPBG SPBG Ngagel Pondok Ungu 34 Type pgn Founded Headquarter GAGAS brings energy to you Private 27 June 2011 Jakarta Sabaruddin CEO Industry Gas Downstream Subsidiaries Total Assets 1 (PT Widar Mandripa Nusantara/WIDAR) USD 83 Million (2017) ■ BUSINESS PROFILE GEI provides natural gas for electricity, industry, commercial, household, and transportation sector through gas pipeline, CNG and mini LNG, Gas Refueling Stations (SPBG) and Mobile Refueling Unit (MRU) ■ In 2015, GEI establish PT Widar Mandripa Nusantara (Widar) to engage in the services related to the power plant and trading No. Employees 76 (2017) Website www.gagas.co.id SPBG Serang MRU Grogol SPBG Purwakarta SPBG Grogol MRU Gresik SPBG Sukabumi Gas Gas Distribution Refueling Station (SPBG) MRU 19#20Subsidiary - PT Pertamina Gas * Pending Completion of the conditional requirement CSPA signed on 29 June 2018 Type Founded PERTAMINA GAS Igniting Brighter Future Headquarter CEO Private 23 February 2007 Jakarta Wiko Migantoro Gas Midstream & Downstream Business Model * Gas Supply Business Gas Transportation End Customer Gas Transportation Major Shippers: I PEP; Perusahaan Listrik Negara ("PLN"); Pertamina Group PERTAMINA GAS Igniting Brighter Future Kangean Energy Indonesia Ltd. ("KEIL”). I Industry Other Suppliers Subsidiaries 1. PT Pertamina Gas Niaga 2. PT Perta-Samtan Gas Niaga 3. PT Perta Kalimantan Gas 4. PT Perta Daya Gas REVENUE CONTRIBUTION - 2017 1% 3% 5. PT Perta Arun Gas Total Assets USD 1.9 Billion (2017) No. Employees Website 379 (2017) www.pertagas.pertamina.com Source: Company's Annual Report 2017 & Website PERTAMINA PERTAGAS NIAGA Gas Trading Operational Highlights - 2017 Gas Trading Major Customers: PT Unilever Oleochemical; PT Arwana Anugerah Keramik; PT Mulia Keramik; PT Sunpower Ceramics. 19% Gas Transportation 40% USD625 Million 502.043 MMSCF Gas Trading 46.680 BBTU Oil Transportation 3.377.386 Barrel Gas Processing 206.409 Ton LNG Regasification 42.160 BBTU Gas Compression 2.755 BBTU 37% I Gas Transportation Gas Trading Gas Processing Marketing Oil Transportation Source: Company's Annual Report 2017 & Website 20#21Subsidiary - Transportasi Gas Indonesia (TGI) 21 Type Founded Headquarter CEO Industry Subsidiaries Total Assets Private 1 February 2002 Jakarta Zuryati Simbolon Gas Transportation USD 550 Million (2017) Transgasindo energy connect synergy No. Employees 285 (2017) Website Grissik - Duri Pipeline Pipeline Length + 536 km www.tgi.co.id Grissik - Singapore Pipeline Pipeline Length + 470 km BUSINESS UPDATES Transportation volume in 9M-2018: 642 MMscfd Level of infrastructure reliability : 99.96% DURI METERING STATION KP 536.3 * Duri▾ Chevron Pacific Indonesia ConocoPhillips CPI DSF Generator CPI Cogen PLN Duri SV-1405 Grissik Ltd. PLTGU Pekanbaru I, 11> (COPGL) PLTGU Teluk Lembu I, II Sungai Pakning Refinery SINGAPORE SV-1403|| Indah Kiat By Kondur Paper Mill (IKPP) SV-1402 BSP Bumi Siak Pusako SV-1404 Minas Perawang v Regional Office 3 Pekanbaru Kalila Kerinci Baru SV-1401 Riau Andalan ★PGN Paper Mill (RAPP) PGN SV-13060 Kalila Bentu ▼Pelalawan PLTGU RAPP Pangkalan Kerinci • SV-1305 SV-1304 RIAU PGN SV-1303 Ukui Pertamina EP SV-1302 Lirik Rengat Air Molek ▼ SV-1301 SV-1206 Pangkalan v Kasai BELILAS COMPRESSOR PIG TRAP Regional Office 2 Belilas SV-1205 ° WEST SUMATERA Gas Supply Pvt Ltd BATAM ISLAND BATAM ISLAND PLTG Batu Ampar PLTD Tanjung Sekuang PLTG Sekupang, I PEMPING METERING PLTD Baloi STATION KP 450 PLTG Batamindo I, II, III PEMPING ISLAND PANARAN STATION Regional Office 4 Batam PLTG Kabil I, II, III PLTU Tanjung Kasem PLTG Panaran I, II, III BDN & PLN SV-1204 Keritang Lontar Papirus Pulp & Paper Industries (LPPPI) Kuala Tungkal JABUNG COMPRESSOR (PHASE 1) Jabung Petrochina Pelabuhan agang SV-1203 SV-1202 Dusun Mud SV-1201 Pertamina South Sumatera SV-1105 South Jambi Block B ConocoPhillips AKERNAN COMPRESSOR Sakernan Telana PLTGU Sengeti Tempino Kecil SV-1104 JAMB Sekarov PLTD Payo Selincah Aur PLTG Duri SV-1103 Bayung Lencir SV-1102 Gelam Insani Mitra Jambi Merang Regional Office 1 Jambi and Gas Transportation Management Pertamina/ Talisman/ PT Pacific Oll & Gas INDONESIA#22Joint Venture - Nusantara Regas - Туре Founded NUSANTARA REGAS a join: venture company between PERTAMINA & PGN Headquarter CEO Industry Private 14 April 2010 Jakarta M. Taufik Afianto LNG Regassification Through FSRU LNG Volume 9M-2018 234 BBTud Operating FSRU Nusantara Regas Satu located in Jakarta Bay as the first LNG Receiving Terminal in Indonesia Regasification capacity: 500 MMscfd. LNG Suppliers: Mahakam PSC and Tangguh PSC Offtaker: PLN Muara Karang Subsidiaries Total Assets USD 277 Million (2017) MUSANTARA REGAS SATU No. Employees Website 73 (2017) FSRU JAWA BARAT www.nusantararegas.com 22#23Subsidiary - PGAS Solution Type pgn Founded Headquarter SOLUTION action for excellence Private 6 August 2009 Jakarta CEO Industry Subsidiaries Total Assets No. Employees Website Chaedar Engineering 1 (PT Solusi Energi Nusantara/SENA) USD 113 Million (2017) 325 (2017) www.pgn-solution.co.id Salala 田 BB 18 23 Line of Business Engineering Establish SENA in 2015 to provide engineering services in the O&G industry, including pipeline, mechanical, electrical, geodetic, civil, process & telemetry sectors. Trading A Reliable Partner of Armatury Group, world biggest valve producer. EPC Building city gas pipeline, onshore offshore Kalija gas pipeline, SPBG/Gas Refueling Station gas station upgrading. O&M More than 5,200 km in length of gas pipeline in its operation & maintenance (O&M)#24Subsidiary - PGAS Telecommunication pgn Type Founded Headquarter CEO Industry COM always reliable Private 10 January 2007 Jakarta Dwika Agustianto Information & Communication Technology Pras international D Kuala Tungkal Jambi SINGAPORE EXCHANGE POP BATAM POP JAMBI Grissik Subsidiaries 2 ■ PGAS International Pte, Ltd (PTI) ■ PT Telemedia Dinamika Sarana (TDS) PTI provides and develop Total Assets USD 35 Million (2017) No. Employees 106 (2017) the network fiber optic for international market and based in Singapore Website www.pgascom.co.id BUSINESS UPDATES Throughout the year of 2017, PGASCOM successfully booked sales capacity of 2,424,905 Mbps and delivered telecommunication services gasnet reliability of 99.87%. Pagardewa Palembang EQUINIX PGN SBWC (Singapore Batam Westline Cable) BATAM CENTER simpang kabi Pemping JL. Sudirman JL Legend Suprapto Jl. Ahmad Yani PANARAN Provide solution of different path traffic to Singapore with the landing point at Jurong Island Terbanggi Besar Labuhan Maringgal Bandar Lampung Kalianda Bojonegara CYBER JAKARTA Anyer TDS with the product brand GASNet provides the internet services for corporate customers to fulfill the business needs. LEGEND TELCO NODE PGNCOM MAIN LINK BACKUP LINK EXISTING 24#2525 Subsidiary - Permata Graha Nusantara pgn MAS Type Founded Private commitment to service Headquarter 24 April 2014 Jakarta Baskara Agung Wibawa Property & Facility Management CEO Industry Subsidiaries 2 Total Assets No. Employees Website • PT Kalimantan Jawa Gas (KJG) • PT Permata Karya Jasa (Perkasa) USD 293 Million (2017) 80 (2017) www.pgnmas.co.id pgn Facility Management Office & gas station support, warehouse & building maintenance Creating added value on PGN's property assets PERMATA IN NUMBERS Asset Management +335,558 M² Building Management Services Real Estate Developing gas based industrial & commercial estates and residential housing Developed Residential Area for PGN Group +25 (locations) Temporary Facilities Services Managing ±25 PGN's non- productive assets +115 (clients) Office Stationery +44 (locations) +68,200 M² Building Gas Station Supports +110 (users) Maintenance Services Office Supports Services#26pgn energy for life A member of Pertamina Investor Relations Contact: PT Perusahaan Gas Negara Tbk Mid Tower Manhattan 26th Floor JI. TB Simatupang Kav. 1-S, Jakarta, Indonesia Email: [email protected] Phone: +62 21 8064 1111