Govt welcomes production sharing deal at Sukowati field
Wednesday, September 22 2004 - 02:34 AM WIB
Minister of Energy and Mineral Resources Purnomo Yusgiantoro said that the government supported the production sharing agreement between ExxonMobil and JOB Pertamina-PetroChina at the Sukowati oil field in East Java.
"The production activities at the Sukowati field which has produced oil with a capacity of 7,000 barrels per day should be continued. Any conflict should not affect the production," Purnomo said on Tuesday.
Meanwhile, the director general of oil and gas Iin Takhyan said that ExxonMobil and JOB Pertamina-PetroChina would soon hire an independent consultant to formulate a fair production sharing deal at the oil field.
JOB Pertamina-PetroChina and ExxonMobil agreed last week to a provisional production sharing deal of 80 percent and 20 percent in favor of ExxonMobil.
The agreement finally ended the conflicts between the two oil operators over the production at the Sukowati field, which overlaps with the Cepu oil block operated by ExxonMobil. Recently ExxonMobil urged Pertamina to end the production activities of JOB Pertamina-PetroChina until an agreement was made.
JOB Pertamina-PetroChina began production activities in August, this year with a production capacity of 7.000 barrels. (godang)