Indonesian conglomerate Sinar Mas Group is exploring the acquisition of the former liquefied natural gas (LNG) business of HMM Co., according to industry sources.
The move signals Sinar Mas’s growing ambitions in the energy sector, with LNG seen as a key transition fuel for Indonesia as it works to reduce reliance on coal. The assets under consideration include HMM’s previously divested LNG infrastructure and related operations.
HMM, South Korea’s largest container carrier, has been streamlining its portfolio in recent years to sharpen focus on its core shipping and logistics business. The potential deal would mark a strategic step for Sinar Mas, adding LNG capabilities to its diversified portfolio spanning pulp & paper, real estate, financial services, and energy.
Market analysts note that the acquisition could strengthen Indonesia’s energy security, particularly in regions requiring flexible LNG supply, while giving Sinar Mas greater foothold in Asia’s fast-growing gas market.
Negotiations are understood to be at an early stage, with valuation and regulatory clearances yet to be finalized. Neither Sinar Mas nor HMM has officially commented on the talks.