Riau province's firm now sole operator of Langgak block

Riau province-owned PT Sarana Pembangunan Riau (SPR) has officially taken over from US-based PT Chevron Pacific Indonesia (CPI) as the sole operator of Langgak Block in Rokan Hulu and Kampar regencies.

CPI's vice president of government policy and public affairs Yanto Sianipar handed over the operation of the block to SPR's president director Rahman Akil during a ceremony at the office of the upstream oil and gas regulator BPMIGAS in Jakarta on Monday.

The government took over the oil block from CPI after its contract to operate the oil block ended in January, 2005. The government planned to auction the oil block for further development but it later decided to delay the auction due to the internal conflicts within the provincial administration about the ownership of the oil block.

The government thus allowed CPI to continue its operation until 2007. In 2007, the government extended CPI's contract until early 2009 and extended it again for another period from Jan. 20, 2009 through Jan. 19, 2010.

Langgak block has a production capacity of about 400 barrels per day. .(*)