Pertamina to relinquish working areas
Thursday, March 4 2004 - 08:07 AM WIB
State-owned oil & gas company PT Pertamina will have to relinquish some of its oil and gas working areas across the country, following the enactment of the new law on oil and gas, a company official said on Thursday.
Bambang Nugroho, Pertamina?s upstream director, said in the very near future, the company would sign a contract, named ?cooperation contract?, with upstream authority BP Migas.
He also said that once the relinquishment completed, Pertamina would still hold concession area a 137,000 square kilometers, from 145,000 Sq kms currently.
Sources told Petromindo.com that areas to be relinquished are located in northern Java, Papua province, and in North Sumatra.
Last year, Pertamina officially became a limited liability company in line with Law No. 22/2001, ending Pertamina's control of the country's oil and gas sector. The company?s upstream working areas are also becoming subject to PSC contract. (godang)