Govt to announce tender of 21 blocks

The government is set to announce the tender of 21 oil and gas blocks later today (Monday), a governmental official said.

 

R. Priyono, upstream director at the Ministry of Energy and Mineral Resources, did not provide details, saying the tender would be announced after the Indonesian Petroleum Association (IPA) conference. IPA, which groups all oil and gas contractors operating in the country is holding a conference for two days starting today.

 

Priyono said state owned oil and gas company PT Pertamina was still not allowed to acquire a stake in the blocks offered in the auction as part of its farm-in privelege.

 

"It (the farm-in privilege) is still under the discussion," he said.

 

The government earlier announced that it would give Pertamina a privilege to buy up 15 percent stake in all blocks offered in the tender or still under exploration. Priyono also said the govenrment delay the tender of coal bed methane indefinetly. (Alex/Godang)