RI may become net oil exporter in 2010: Experts

Indonesia, the only OPEC member from East Asia, will probably regain its status as net oil exporter in 2010, with the total oil production reaching 1.55 million barrels per day (bpd), the Investor Daily Indonesia newspaper reported in its Monday edition.

In that year, Indonesia is predicted to be able to fully fulfill the domestic oil demand and can allocate the remaining oil stock for exports. Currently, Indonesia produces 1.125 million bpd, while consumption reaches almost 1.55 million bpd.

This was disclosed at a discussion entitled ?Becoming Net Oil Exporter In The Next 4 Years? in Jakarta recently.

The discussion featured speakers like oil and gas consulting firm PT Exploration Think Tank Indonesia (ETTI) president Andang Bachtiar, PT Bumi Siak Pusako- Pertamina Hulu?s general manager BOB Karsani Aulia and oil and gas industry?s technical expert at both the Bandung Institute of Technology (ITB) and PT Pertamina EP Salis S. Aprilian.

Andang said that Indonesia needs to develop the existing oil fields to optimize the exploration activities to find new reserves to reach the production level of 1.55 million bpd.

?It?s a pity. There is no research data regarding the potential of the commodity yet to develop those oil fields. The absence of data increases the risk of investors in the oil and gas industry,? Andang said.

Andang said Indonesia still hsve huge potential of oil and gas reserves because there are at least 42 hydrocarbon basins which are not yet explored. From the total of 66 basins, Indonesia explored 24 basins so far and it was able to produce oil in 16 basins.

?In principle, new areas must be opened. We will try to conduct research on at least 50 basins which are predicted to have some 11 billion barrels of oil,? he said.

In 2009, he said, Indonesia?s oil production can reach 1.3 million bpd.

?With the new explorations and adding new reserves, this target can be raised to 220 million barrels and a maximum of 302 million barrels per year,? he said.

Meanwhile, Karsani added that the government must launch a campaign to draw more investments in oil and gas sector by offering incentives, creating a business climate as well as making good legislation and providing enough research data. (*)