Pertamina wants to take over ?expiring? oil, gas blocks
Tuesday, November 26 2013 - 03:04 AM WIB
PT Pertamina urged the government to hand over to the company the management of oil and gas blocks whose contracts are about to expire.
Pertamina Director for Investment and Risk Management, Afdhal Bahaudin told Petromindo.com on Tuesday that the company has made the request via a letter to the Ministry of Energy and Mineral Resources (MEMR) in February of this year, but so far there has been no reply.
?Pertamina has sent a letter to the MEMR in February of 2013 for 100 percent (shares of the expiring oil and gas blocks),? he said.
Afdhal said that Pertamina was interested in taking over the Indonesia Deepwater Development Project (IDD) operated by PT Chevron Indonesia Company in East Kalimantan.
This portal reported on October 29, quoting a source, that Chevron Indonesia Company has requested to the government of Indonesia for an extension of the three production sharing contracts within the IDD project in order to make the project more economical.
The three PSCs in the IDD project include Ganal, Rapak, and Makassar Strait blocks, which respectively will expire February 24, 2028; December 4, 2027; and January 26, 2020.
The IDD project is projected to come on stream in 2016, according to the source, with first gas production coming from the Bangka field in March. Meanwhile, first gas production from the Gendalo field is projected in January 2018, to be followed with first gas production from the Gehem field in February 2018.
Editing by Reiner Simanjuntak