Welcome Guest   |  Login   |   Signup
JG Logo
Thu, May 24, 2012
Archive Search

Indonesia Says Japan’s Inpex Wins Babar Selaru Oil/Gas Block
September 21, 2011

Share This Page
1
0
0
0
Share with google+ :


Post a comment
Please login to post comment

Comments

Be the first to write your opinion!

Japan’s top oil and gas developer, has won concession rights for the Babar Selaru oil and gas block in Indonesia’s first upstream bidding round this year, the energy ministry said on Wednesday.

Evita Legowo, a director at the energy ministry said that the government has successfully secured winners for nine out of 11 blocks offered, including the Babar Selaru offshore block which is located in the Arafuru Sea near Papua province.

Results of the second auction are expected to be unveiled next month for at least nine blocks, following the completion of the first concessions, Legowo said.

Indonesia, a former OPEC member, has been struggling with falling oil output from ageing fields and the government aims to hasten the approval process for exploration applications and remove red tape. 

Italy’s ENI in a consortium with France’s GFD Suez, Norway’s Statoil and Niko Resources also won an offshore oil and gas block in North Ganal, Makassar strait.

Statoil secured another offshore block with Canadian oil and gas company Niko in Obi, Halmahera island, while Prabu Energy won the Ranau onshore block in Sumatra.

Forbes Citra Nusantara won the northeast Madura offshore block and Murphy Oil Corp secured the rights to explore Semay VI offshore block in West Papua.

Karya Inti Petroleum, Geraldo Energy and Cahaya Sumber Energy Pratama each won an oil and gas block in Kalimantan on Borneo island.

The energy ministry does not provide any details on the blocks’ reserves but said that all the winners have committed to invest $106 million in total for three years of exploration. 

Indonesia is piling pressure on firms holding oil and gas contracts to expedite their projects and will call up 149 contractors to explain why they have failed to meet exploration commitments.

Energy regulator BPMigas said that if the commitments were not accomplished in six years, it would terminate their licenses.          

Reuters