SKK Migas hopes to reach agreement with Pertamina soon over transfer of authority

By Godang Sitompul

Upstream authority SKK Migas and state-owned oil and gas firm PT Pertamina are currently still in intensive discussions on the detailed mechanism for the transfer of authority in selling the government?s portion of the country?s crude and condensate output.

Elan Biantoro, SKK Migas Public Relations Head, told Petromnido.com Friday that both sides are expected to reach an agreement this month, so that the selling of crude and condensate belonging to the government for the months of October-December 2013 can already be handled by Pertamina.

He added that SKK Migas is also trying to respond to certain preconditions set by Pertamina for the transfer of the authority, but stopped short of specifying what the conditions are.

Minister of Energy and Mineral Resource earlier last month announced the plan to terminate the role of SKK Migas in holding tender for oil and condensate output belonging to the state, transferring it to Pertamina. The move came after the now-defunct chairman of SKK Migas Rudi Rubiandini was caught red handed of receiving bribe money from one of tender participants.

Editing by Reiner Simanjuntak