UAE firms to cooperate with Pertamina in 10 oil, gas blocks
Friday, May 19 2017 - 01:57 AM WIB
Petromindo|Lucky
Investors from United Arab Emirates (UAE) have expressed interest to cooperate with Indonesian state-owned oil and gas firm PT Pertamina in developing 10 oil and gas working areas newly assigned by the government to the latter company.
Minister of Energy and Mineral Resources Ignasius Jonan said in a statement issued on Thursday, following a three-hour meeting with visiting UAE Energy Minister Suhail Mohammed Faraj Al Mazrouei, said the UAE firms will later hold business-to-business talks with Pertamina to realize the planned cooperation.
?In the oil and gas area, they (UAE firms) are interested to cooperate with Pertamina in oil and gas working areas newly assigned by the government to Pertamina. So there are 10 oil and gas working areas, they proceed with the next level of B to B (business-to-business discussion),? Jonan said in the statement.
He is hopeful the planned joint investment can be realized as Mubadala Petroleum, an UAE company, has had efficient experience in operating the Ruby field in Sebuku block, in Makasar Strait. ?Hopefully, it (the planned investment) can be realized as they are also confident that the production operation by Mubadala has been efficient,? he said.
The government has assigned Pertamina to takeover oil and gas blocks whose contracts are set to expire in 2017-2018. The company is allowed to take up partners in developing the blocks including existing investors in the blocks.
Jonan said that there is also possibility for Pertamina to invest in oil and gas blocks in Africa operated by Mubadala.
The Thursday meeting with the UAE delegation part of ?The Second Republic of Indonesia-United Arab Emirates Economic Task Force.? The first meeting was held in Abu Dhabi in January.
Elsewhere, Jonan said that there is potential for UAE to increase its investment in Indonesia to around US$7 billion in various areas including oil and gas, and power. UAE?s total investment in Indonesia currently stands at $2 billion.
Editing by Reiner Simanjuntak