RI oil and gas prospects remain good
Thursday, May 25 2000 - 03:15 AM WIB
Minister of Mines and Energy Susilo Bambang Yudhyono said in Jakarta on Wednesday that the prospects of oil and gas production in Indonesia remained good despite earlier researches found that the oil and gas reserves would totally deplete within the next 50 years, Media Indonesia reported on Thursday.
The minister said Indonesia would still be able to export oil and gas within the next 50 years given the result of new oil and gas findings in some parts of the country. He cited that the significant findings of oil and gas reserves in the Malacca strait, and some parts of the country proved that Indonesia still has a good prospect in oil and gas production.
He acknowledged that based on proven reserves, oil would totally deplete in 20 years time, and gas in 50 years, making Indonesia a net importer of the two commodities after that period of time.
"But the recent oil and gas findings would extend Indonesia's gas and oil production," he added, citing that that there are also indications that Indonesia still has adequate oil and gas reserves in offshore locations.
The minister said that foreign investors' strong interest in exploring the oil and gas in the country indicated that Indonesia remained prospective place for oil and gas production. "But we have to be sure that in the future we should make more attractive investment climate to encourage investors to explore the high-cost exploration activities in offshore oil and gas blocks, he added. (*)