Government will soon offer 10 oil blocks for exploration

The government will offer 10 oil blocks for exploration in May this year in a bid to further increase the country's crude oil production, Director of Oil and Gas Exploration and Production at the Ministry of Energy and Mineral Resources, Novian M. Thalib, said in Jakarta on Tuesday.

"The 10 oil blocks will be offered through a direct offer mechanism," he told Petromindo.Com. "The direct offer would be advertised through the local newspapers in the third or fourth week of May," he added.

The 10 oil blocks to be offered include the Bengkulu Coastal Block, West Kampar Block, Central Sumatra Block, Jatiluhur Block (West Java), Nunukan Sebatik Block (East Kalimantan), Bunga Mas Block (South Sumatra), North Bali Block, East Kangean Block (East Java), East Seram Block (Maluku) and Tonga Block (Central Sumatra).

These oil blocks will be the first to be offered through direct offer mechanism this year. The second direct offer will be held in September during which the government will offer another 10 oil blocks. The government will also offer another 25 oil blocks through a regular tender mechanism.

The government has said it would offer about 65 oil blocks this year as part of efforts to cope with the continuing decline in the country's oil production. (Godang)