2002 state revenue from mining, oil/gas sectors set to decline

State revenue in 2002 from mining, and oil and gas sectors is projected to fall to Rp 76.45 trillion compared to Rp 106.48 trillion in 2001 particularly due to a drop in oil prices, according to a statement issued on Wednesday by the Office of the Minister of Energy and Mineral Resources.

The statement said that oil price is assumed at an average of US$22 per barrel for 2002, compared to $24 per barrel last year. The rupiah exchange rate is set at 9,000 per U.S. dollar compared to 9,600 per dollar last year.

The statement said that out of the Rp 76.45 trillion revenue, 74.22 trillion would be contributed by the oil and gas sector, compared to last year?s contribution of Rp 104 trillion.

Indonesia relies heavily for revenue from the oil and gas sector to help finance itself out of the enduring economic hardships. The current downturn in international oil price had created concern over the impact on state finances.

The statement added that some 17 new oil and gas fields would be offered to investors this year as had been reported previously.(Godang)