Local firms request stakes in Muara Bakau PSC

By Febry Silaban

Several local enterprises have submitted proposals to the government, demanding participating interest in Muara Bakau block offshore East Kalimantan.

"The percentage of interest demanded by the local enterprises varies," an industry source told Petromindo.com.

Meanwhile, Director for Oil and Gas Upstream Management at the Ministry of Energy and Mineral Resources Naryanto Wagimin told Petromindo.com that the status of the local enterprises demanding the stakes should be reviewed first, whether the companies are owned by local administrations or not, to make sure that no province or regencies will demand for additional shares in the future.

"However, it is the duty of SKK Migas (upstream authority) to resolve the problem," he said, adding that the block is located about 12 miles from land.

He did not provide details about the names of the locally-owned enterprises.

Editing by Reiner Simanjuntak