Eni waiting for assigned right to sell gas from Jangkrik

Wednesday, June 13 2012 - 02:55 AM WIB

By Godang Sitompul

Italy's energy giant ENI Spa is still waiting for the government?s decision on whether to assign it with the right to sell gas from its Jangkrik field of Muara Bakau Block, Kutai basin, offshore East Kalimantan, a senior official of upstream authority BPMIGAS said.

Based on regulations, the government has the right to appoint certain companies---not necessarily those with interests or even the operator of the field, to sell its oil and gas share from any block across the country.

In the case of Jangkrik field, state oil and gas company Pertamina is also very interested to get the right to sell the gas share of the government.

?Yes, they?re waiting for a backup advantage from the government. Pertamina is also interested. A decision has yet to be made, whether it will be Eni or Pertamina. BPMIGAS is still considering its choice on this,? BPMIGAS Operational Control Deputy Rudi Rubiandini told Petromindo.com in Jakarta on Wednesday. He did not give any further details.

Eni was reported last month in a process of carrying out a tender for Engineering, Procurement, Construction and Installation (EPCI) at its Jangkrik field.

Eni, through its Indonesian subsidiary Eni Muara Bakau B.V, is the operator of Muara Bakau PSC with a 55 percent interest, with GDF Suez holding the remaining 45 percent.

Editing by Benget Besalicto Tnb.

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