Oil lifting to reach 1 million a day in September 2014

By Tri Subhki Rakhmatullah

Minister of Energy and Mineral Resources Jero Wacik voiced optimism Indonesia will reach 1 million bpd of oil lifting in September 2014, up from 831.118 bpd by June this year, thanks to new production from the Cepu Block in the borders of Central and East Java.

"If we are Able to remove all the hurdles and the Cepu Block boost production to 165,000 bpd, I Estimate the oil lifting in September 2014 will reach 1 million bpd," he said in Jakarta on Tuesday.

The 2013 Revised State Budget sets a 840,000 bpd oil lifting target for this year, with realization reaching 99 percent by June this year. "The oil lifting this year is better than last year, and next year will be much better," he said.

There are seven oil contractors that's are Producing above target this year, namely ConocoPhillips Indonesia Ltd., Vico Indonesia, Medco E & P Indonesia (S & C Sumatra), PHE ONWJ (Pertamina Hulu Energi Offshore North West Java), Chevron Pacific Indonesia, Medco E & P Indonesia (Rimau ) and ConocoPhillips (Grissik).

Jero also said illegal tapping on the oil pipelines owned by state owned oil and gas firm PT Pertamina in South Sumatra has so far caused a crude supply of 120,000 Barrels loss this year. He Urged the Authorities to find and punish the culprits, citing the government has missing Potential lost revenue due to the illegal activities. Besides, oil pipe tapping is very dangerous for the culprits themselves.

Editing by Johannes Simbolon