The bidding for 26 new oil blocks to be launched on June 9

The government has finally decided to open the bidding for 26 oil and gas blocks in June 9, this year after a delay for at least three months, Bisnis Indonesia reported on Tuesday.

Director General of Oil and Gas Exploration and Production at the Ministry of Energy and Mineral Resources, Novian M. Thaib, said in Jakarta on Monday that 14 of the new oil blocks would be offered to investors through an open bidding, and the other 12 oil and gas blocks through a direct appointment.

The tender will mark the opening of the government's oil and gas tender for 2005 during which some 70 oil and gas blocks are planned to be offered to investors for exploration and production.

The oil and gas blocks to be tendered next month will include offshore oil and gas areas near Kalimantan, South Sulawesi, East Java and Bali, Novian said but he refused to elaborate.

The tender was initially scheduled to be launched in April but it was delayed in a bid to give wider opportunity to investors to take the advantage of the bidding. According to Novian, total investment for the exploration of the 26 oil and gas blocks will reach about US$350 million for three years. (*)