Pertamina welcomes collaboration over Mahakam

By Febry Silaban

PT Pertamina said it did not object to the idea that the state owned oil and gas firm should collaborate with existing investors in managing the Mahakam block, after the current contract of Total E&P Indonesie and Inpex Corp. expires in 2017.

"We're going to try first for a few percent (in participating interest). Once we are considered fully capable, then SKK Migas would eventually have to give 100 percent to Pertamina,? President Director Karen Agustiawan said Monday after the signing of the Trustee and Paying Agent Agreement with BNI, at SKK Migas office in Jakarta.

Mahakam is the biggest gas-producing block in Indonesia.

Karen said such an approach bodes well with a mandate from President Susilo Bambang Yudhoyono that Pertamina should also allocate more attention on overseas endeavors.

"With the capabilities, we will develop the Mahakam block, as well as developing existing blocks abroad and within the country," said Karen. In addition, she also added that Pertamina should focus on developing infrastructure facilities in the country, such as refineries.

Editing by Dadan Wijaksana