RI has gas reserves near Vietnam borders

The Indonesian island of Ranai located near the border line with Vietnam in the South China Sea contains potential gas reserves worth about Rp 50 trillion, Minister of Energy of Mineral Resources Purnomo Yusgiantoro has said as reported by Bisnis Indonesia on Saturday.

Speaking to reporters following the signing of a memorandum of understanding (MOU) agreement on the border line between Indonesia and Vietnam in the South China sea in the Vietnamese capital of Hanoi on Thursday, Purnomo said that the island which is located near the Natuna islands is also estimated to have oil reserves of about 2.8 billion barrels.

"With the signing of the MOU agreement, Indonesia is now able not only to carry out exploration activities on Ranai island but also on Alfa Natuna," he was quoted as saying.

He said that the massive gas and crude oil reserves found in the islands near the border areas with Vietnam would become another major sources of the Indonesian government's future budgets. (*)