JAKARTA, Dec 8 Reuters Indonesia aims to launch initial public offerings for the upstream and geothermal units of state energy firm Pertamina next year to fund expansion, a senior government official told parliament.

Pertamina Hulu Energi, the upstream unit of Pertamina, is expected to sell a 10 to 15 stake in an IPO next year and had conducted initial sounding out of potential investors, Pahala Mansury, deputy minister of stateowned enterprises, told lawmakers on Wednesday.

The government also aims to conclude the IPO of Pertamina39;s geothermal unit in the first quarter of next year after it was delayed due to less than optimum market conditions this year, Pahala said.

The IPO of Pertamina Geothermal Energy was initially targeted to take place in the second quarter of this year.

On Thursday, two sources with knowledge of the matter told Reuters that Pertamina Hulu Energi39;s IPO could raise up to 2 billion. Citigroup , Credit Suisse and JPMorgan are joint bookrunners with Indonesia39;s BRI Danareksa and Bank Mandiri, according to a term sheet seen by Reuters.

Indonesian equities have outperformed this year, with the main index up 2.5 on relatively strong economic growth.

However, the performance of large IPOs has been disappointing. PT GoTo Gojek Tokopedia TBK raised 1.1 billion from its IPO earlier this year but its share price has plunged by 70 as investors shun lossmaking tech stocks.

Pahala did not give details of the expected fundraising in parliament.

He…