Java remains suitable for oil and gas industry: BP Migas

Upstream oil and gas regulator, BP Migas, said that the densely populated Java island remains suitable for oil and gas exploration and production activities although many of oil and gas projects on the island are located near residential areas, Investor Daily reported on Thursday.

The agency's chairman Kardaya Warnika said in Jakarta Wednesday that although being located near residential areas, oil and gas exploration and production activities remain safe as long as they are carried out according to standard operational procedures.

He acknowledged that conducting oil and gas exploration and production activities near residential areas was quite risky especially if the technology being used is not appropriate with the condition of the areas being explored.

"Moreover, the guideline in the exploration activities is still based on a regulation issued in 1930. Under this regulation, oil and gas projects can be conducted within 100 meters from the residential area," he said, noting that such as regulation had been outdated and could not longer be used in the present situation. "We have to revise this regulation to ensure the safety of the future oil and gas projects," he added.

The oil and gas incidents such as those taking place in Lapindo Brantas's gas field in Sidoardjo, East Java has raised some concerns over the safety of the oil and gas exploration activities in Java which are mostly located near residential areas.

The gas exploration incident at Lapindo's gas well has caused a serious damage not only to farming areas and plantation areas located nearby but also had forced thousands of residents to flee to safe place. (*)