Assessed Easy Investor, PetroChina Appreciation Schemes Gross Split

INDUSTRY.co.id - Jakarta - PetroChina's oil and gas company, PetroChina, has expressed appreciation for the implementation of the "Gross Split" revenue sharing scheme that facilitates investors.

"The 'Gross Split' scheme provides a flexible way for investors to develop their calculations, I think this is interesting for the energy investment climate in Indonesia," said PetroChina Gong Bencai President in Jakarta, Wednesday (10/1/2018).

The parent company of PetroChina, CNPC still considers Indonesia as one of the main investment destinations for the energy sector. The Chinese government last year launched the One Road Belt One Initiative, to build relationships and cooperation between European and Asian countries, including Indonesia.

Related to that, PetroChina will conduct an extensive consultation on operations and cooperation in Indonesia. Over the years, Chinese investors have the full support of the government.

"We have built a win-win situation through our operations, we are aware that the Government in Indonesia is very concerned about the development of the energy sector, we are here to participate in any way, especially in exploration and production," he said.

In 2017, in an effort to increase the production of Jabung Block, Jambi, PetroChina's largest operating block, PetroChina has implemented several technologies. With that result, it has managed to increase daily average production to nearly 55,000 BOEPD.

Just like in other places Jabung Block production is naturally decreased due to old oil fields. "Therefore, we must work smart, while reducing operating costs. After some experiments, we finally managed to do the maintenance project without turning off the Betara Gas Plant." he said.

The Ministry of EMR stated that the scheme of "Gross Split" production sharing contract for five oil and gas blocks is still in demand by investors throughout 2017.

"The Gross Split scheme is still in demand by investors, even there are five oil and gas blocks reaching agreement," said Secretary General of the Ministry of Energy and Mineral Resources (ESDM) Ego Syahrial.

The five blocks are Andaman I, Andaman II, Pekawai, West Yamdena and Merak-Lampung which have been auctioned and sold in 2017.

Ego said the old cost recovery scheme in 2015 and 2016 precisely no one sells, on the auction of conventional oil and gas blocks.

The auction offered for conventional oil and gas blocks throughout 2017 was recorded at 10 blocks of oil and gas and the five, or only 50% of the target. (ant)