Oiltanking has announced its intention to divest PT Oiltanking Karimun, located on Karimun Island, Indonesia, to Novus Middle East, with the transaction set to take effect in the second quarter of 2024.
This divestment is part of Oiltanking’s Project Accelerate, aimed at transforming the company’s business by creating a more diversified portfolio. This strategy is guided by two core principles: strengthening the company’s future focus and accelerating growth. Project Accelerate includes a review of strategic options for Oiltanking’s remaining assets and investments to maximise their value potential.
Bas Verkooijen, CEO of Oiltanking, stated, “PT Oiltanking Karimun is one of our remaining assets and investments. Throughout our assessment, we considered all perspectives and concluded that it is best for our Indonesian business and employees, as well as our shareholders, to transition PT Oiltanking Karimun to a new owner.”
During the mandatory waiting period, the new owners will be onboarded to ensure the terminal’s continued safe and reliable operation. Oiltanking has also made it a conditional requirement in the divestment agreement that local employees will retain their current employment terms and conditions during the transition.
Verkooijen added, “I would like to take a moment to recognise our vendor partnerships and the local communities we have been part of over the past several years. We part ways having learned much from you. Particular appreciation and praise go to our local team of managers and operators on Karimun Island. I remain impressed by their continued high performance. Under the leadership of president and director Pak Yos Effendy, our customer focus grew even stronger. Thank you.”
Oiltanking’s strategic move is expected to align with its broader goals of focusing on future growth and contributing to the energy transition, while ensuring a smooth transition for local employees and maintaining high operational standards.
For more information visit www.oiltanking.com
