RI needs US$4.5b in investment to maintain oil reserves
Wednesday, February 27 2002 - 02:22 AM WIB
Indonesia needs at least some US$4.5 billion in new investment per year to maintain the current oil reserves of around 9 billion barrels, according to director general of oil and gas Rachmat Sudibyo.
He was speaking at the second day of the Indonesian Petroleum Association (IPA) 28th annual conference.
Oil and gas investors have urged the government to improve security condition and the overall investment climate including maintaining investment climate as prerequisites for more investment allocation in the sector.
Indonesia relies heavily on oil revenue to finance the state budget. The oil industry also creates many jobs.
Investment in the country?s oil and gas sector has been in a declining trend during the past couple of years due to poor security condition, legal uncertainty and other problems.(Alex)