More coys eyeing Indonesian exploration blocks

Government said on Saturday two more E&P investors had expressed interest to acquire new exploration blocks in Indonesia through special bidding process.

?Two more investors had submitted their interest to acquire an offshore block located around Bunyu island and an offshore block in Makassar Strait, both in East Kalimantan,? said Indrajana Chaidir, E&P Director at the Ministry of Energy and Mineral Resources, which holds authority to licence exploration blocks.

Earlier, Indrajana said two investors had also submitted proposal to acquire Langsa block northern part of Sumatra and Old Musi onshore block in South Sumatra through special bidding.

Indrajana declined to identify the interested investors, but saying that they are international and local companies.

He added that the government is expected to decide process the proposals making announcement to identify other interested bidders sometime next year.

Under the ?special bidding? process, any interested company could any time apply to acquire a new exploration block from the government without having to wait for formal bidding session to be opened. Having received proposal from interested companies, government would make announcement to invite other possible bidders to submit proposals. If no other bidder emerges until the deadline set by the government, the block will be granted to the company, which sends the first proposal. If new bidders emerge, government would grant the block to bidder, who offers most benefits to the government.

The government had awarded 7 new exploration blocks to International and local companies through special bidding process in addition to 9 new blocks it had awarded earlier this year through regular tender.

Government is also putting 10 new blocks for regular tender in the next round exploration licensing bidding. (godang)