Pertamina wants special privilege to manage Makassar Strait Blocks
Tuesday, November 14 2000 - 03:00 AM WIB
State owned oil and gas company Pertamina said on Monday it has sought permission from the government to be involved in the development of oil and gas resources in Makassar Strait and ask for a special treatment during the bidding process for the areas' oil and gas blocks.
Head of Pertamina's foreign contractors management body (BPPKA) Heru Cokro told Petromindo.com the government had oked the request.
"We have asked the government to allow Pertamina to participate in the development of the Makassar Strait's blocks, and according to what I heard from the government, Pertamina would be given special privilege to partner with whoever would win the bidding for two or three blocks out of six blocks that will be open for bidding," said Heru
He added that Pertamina's participation would be in the form of capital investment.
According to Heru, major players in oil and gas industry such as Total, BP, Unocal, ExxonMobil and Caltex have expressed their interest to participate in the bidding.
The ministry of energy and mineral resources, which recently took over the tendering process for the country's oil and gas resources from Pertamina, has said it would soon invite bidders for the development of six blocks in Makassar Straits.
Makassar Straits is currently the darling for oil and gas investors after Unocal Indonesia Company, a subsidiary of American energy firm Unocal Corp, found significant oil and gas resources in the deep water of the area.
The six blocks are Taritip, which covers about 3,180 square kilometers, Jangeru (about 3,375 square kilometers, Tanjung Aru (about 3,460 square kilometers, Donggala (about 3,120 square kilometers), Popodi (about 6,460 square kilometers) and Papalang (about 8,050 square kilometers). (Alex)