Pertamina Adopts Bloomberg’s Oil Hedging Electronic Solution for Operational Efficiency
August 11, 2020
Jakarta – PT Pertamina (Persero), Indonesia’s largest oil and gas company, has adopted Bloomberg’s commodity electronic trading solution (RFQC) to manage its crude and gasoline hedging needs.
With fuel demand impacted by COVID-19, Persero has plans to cut operational expenses by 30% in 2020. The company is adopting RFQC and leveraging scalable technology to lock in future revenue through a commodity hedging program. With full trading records available electronically on Bloomberg, Persero can announce winning bids easily to all tender participants, and counterparties are able to price and trade more efficiently in a secure environment.
“Given the difficult operating environment, proactively managing our fuel costs through hedging will help us achieve cost savings and become more operationally efficient,” said Fajriyah Usman, Vice President, Corporate Communication at PT Pertamina (Persero).
“Our partnership with Bloomberg also allows us to manage the entire tender process – from pre-trade analysis, electronic order execution to post-trade operations – with our global counterparties with full transparency. It was also challenging to implement this hedging program as our traders were working from home but the Bloomberg team delivered a robust and resilient technology system, enabling us to continue with our operations remotely.”
Steven Yankelson, Bloomberg’s Head of ASEAN added, “We are fully committed to supporting Persero through this period as they continue to make strategic investments in technology which will put them in a position of growth, when market conditions improve.”
Bloomberg’s RFQC is a commission-free electronic solution for commodity trading and hedging. Available to Bloomberg Terminal subscribers, the solution enables corporations to receive and record real-time prices from preferred counterparties, execute and confirm trades and seamlessly integrate details into order management, risk management and back office systems.
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Press contact:
Grace Ngoh
Bloomberg
gngoh2@bloomberg.net