Indonesia’s state-run energy giant Pertamina has created a new shipping division and allocated $4bn to buy new ships and upgrade terminals over the next seven years.

According to Reuters, Pertamina International Shipping (PIS) will replace 23 ageing vessels and expand its fleet and look to list in Jakarta within the next two years.

As well as crude and product tankers, PIS is expected to invest heavily in small to medium sized LNG carriers to provide energy across Indonesia’s sprawling archipelago of 17,508 islands.