Pertamina optimistic on new reserves
Saturday, December 23 2000 - 04:00 AM WIB
State oil company Pertamina said on Friday it was optimistic about finding new oil and gas reserves next year following plans by foreign contractors to boost spending.
``There are indications there will be several new findings of oil and gas in some contractors' operations. We are still optimistic about finding new reserves for both oil and gas in the future,'' Heru Tjokro, a senior official at Pertamina, told reporters.
Adding to the optimism was Gulf Canada Resources and Talisman Energy Inc's announcement on Thursday it had signed a contract to provide additional gas deliveries to PT Caltex Pacific Indonesia's oil production operations in Sumatra.
He also held high hopes from Unocal's activities in the Makassar Strait.
``Unocal findings in the Makassar Strait and other findings in Natuna have proved that things look promising for Indonesia's oil and gas industry,'' he said.
Foreign oil contractors operating in Indonesia are expected to increase spending next year to $752 million from $588 million in 2000 and from $586 million spent in 1999.
They also plan to invest $1.16 billion in oil and gas development in 2001, compared with $701 million in 2000.
He said Indonesia planned to have 110 exploration wells next year, from only 63 in 2000 and 81 last year. The contractors were also expected to drill 1,067 development wells in 2001, compared with 908 wells in 2000.
Total crude and condensate production next year will fall to 463.2 million barrels from 515.6 million barrels this year, Tjokro added.
Gas output was expected to fall to 2.2 trillion cubic feet in 2001, from 2.4 tcf in 2000 and 2.6 tcf last year. (*)