Pertamina EP to invest Rp 10 trillion to boost oil production

PT Pertamina EP, the oil and gas production arm of the state owned oil and gas company, Pertamina, is set to invest a total of Rp 10.2 trillion this year in a bid to further boost oil and gas production, Bisnis Indonesia reported on Friday.

Speaking to reporters on Thursday, the president director of PT Pertamina EP, Kun Kurnely, said that about Rp 4.3 trillion of the investment funds would be used for routine budgets and another Rp 5.9 trillion for operating costs including for the exploration of 120 oil and gas wells.

According to him, the 120 wells include 30 new wells and 90 productive wells. Last year, the company's new and productive wells totaled only 89.

"We plan to develop new exploration wells in West Java, East Java, Riau and South Sumatra," Kun said. With the allocation of such large investment funds, he is optimistic to meet the country's production target to produce 1 million barrels of crude oil per day.

He however did not explain Pertamina EP's own production target for this year. (*)