All state condensate production share will be used by Pertamina

By Godang Sitompul

State owned oil and gas firm PT Pertamina (Persero) said it will absorb all the government?s condensate production shares and will not sell any of them overseas.

The condensate will be used as feedstock at the refineries owned by Pertamina and TPPI, Pertamina?s Processing Director Rahmat Hardadi told Petromindo.com.

In May, 2016, for instance, the government?s share in the contractors? condensate production is projected to amount to 26,850 barrels per day. All the amount will be taken by Pertamina and none of which will be exported.

Arwan, Head of Condensate Commercialization Division at upstream authority SKK Migas, said the agency does no longer handle the sale of the government?s condensate production share.

?Since the end of last year, SKK Migas has no longer held tenders to sell the government?s oil and condensate production shares. They are now handled by Pertamina. It is up to Pertamina whether to export them. The principle is that all the government?s oil and condensate production will be used to meet Pertamina?s refineries. If the refineries are not able to process all the production, Pertamina may export the unused amount and the tender will be held by Pertamina,? he said.

Editing by Johannes Simbolon