Oil and gas company PT Medco Energi Internasional (MEDC) has approved a final dividend payout of US$37.95 million during its Annual General Meeting of Shareholders (AGMS) on Tuesday, June 3, 2025, raisingthe company’s total dividend distribution for the 2024 fiscal year to US$63.29 million.

In a separate, the Panigoro Group-owned energy firm also completed a buyback of two outstanding debt securities totaling US$461.52 million. The repurchases were conducted via tender offers for bonds issued by subsidiaries Medco Oak Tree Pte. Ltd. and Medco Bell Pte. Ltd., according to the company's disclosure to the Indonesia Stock Exchange (IDX) on Wednesday, June 4, 2025.

Medco Oak Tree accepted valid tenders worth US$150.59 million from a total of US$242.32 million in notes maturing in 2026. Medco Bell received tenders amounting to US$310.93 million out of US$418.71 million in bonds due in 2027. The tender offer was open from May 5 to May 16, with expiration on June 3 and settlement scheduled for June 9.

Alongside the buyback, MEDC also launched a new US-dollar-denominated senior notes issuance. “On May 8, 2025, a new bond was priced with a principal amount of US$400 million, a coupon rate of 8.625 percent and a maturity date of May 19, 2030. The offering was completed on May 19, 2025,” the company stated in its regulatory filing.

The final dividend of Rp25 per share, scheduled for distribution on July 4, follows an interim dividend of US$25.33 million (Rp15.75 per share) paid on November 1, 2024. With the current exchange rate of Rp16,308.7 per US dollar, the final dividend equals approximately Rp618.85 billion, while the interim payout totaled around Rp394.79 billion.

The AGMS also ratified MEDC’s 2024 financial report, approved remuneration packages for its board, and confirmed the appointment of auditors for fiscal year 2025.

MEDC posted a net profit of US$367 million in 2024, up 11 percent from US$330.67 million in the previous year. CEO Roberto Lorato attributed the gains to strong oil and gas production, increased power sales, and operational efficiency.

“We exceeded production targets, accelerated debt repayment, and raised dividends by 16 percent,” Lorato said.

Projects

Lorato highlighted the contribution of PT Amman Mineral Internasional (AMMN) and full-year earnings from Oman’s Block 60 as key growth drivers. The company maintained a stable average realized price of US$78 per barrel for oil and US$7 per MMBtu for gas, while production reached 152 mboepd, supported by robust gas output from South Sumatra and the Corridor block. Production costs were stable at US$8.2 per barrel of oil equivalent.

Medco has submitted a Plan of Development (PoD) Phase II and a PSC extension for the Bangkanai block to SKK Migas, aiming to unlock 450 Bcf of gas for domestic use.

Electricity sales reached 4,108 GWh in 2024, with 20 percent sourced from renewables.

President Director Hilmi Panigoro expressed confidence in the company’s market value, citing ongoing operational improvements. “We fully believe in the value of MedcoEnergi shares and have initiated a significant share buyback program,” he said.