Indonesia offers coal, natural gas to Asia-Pacific region

The Indonesian government has offered its coal and natural gas reserves to the Asia-Pacific countries. So far, 70 percent of energy needs of this region are being met by the supplies from the Middle East, Koran Tempo newspaper reported on Wednesday.

Indonesia made this offer to Asia-Pacific countries during this week?s Asia Pacific Economic Cooperation (APEC) forum meeting in Bangkok, Minister of Energy and Mineral Resources Purnomo Yusgiantoro said on Tuesday in Jakarta.

?Indonesia has huge potential coal and gas reserves,? the minister said.

With annual coal production of 74 million tons or 16 percent of the world market share, 100 trillion cubic feet natural gas reserves and 36 percent market share in the world, Indonesia is the world?s largest exporter of coal and natural gas.

According to Purnomo, it will be not easy for Indonesia to tap the Asia-Pacific markets. Because it needs infrastructure to support government?s effort.

?They (Asia-Pacific nations) use oil generally because it is in liquid form. But we still offer coal and gas which needs infrastructure. This model will be developed by using models like ASEAN Gas Grade or ASEAN Electricity Grade, Purnomo said.

The minister hopes that the supporting infrastructure for coal and natural gas can be developed in the Asia?Pacific region provided those projects were beneficial from the business point of view. (*)