Interest in Large Companies, Gross Split Schemes Assessed More Interesting to Investors

By : Hariyanto And Aldo Bella Putra | Thursday, February 01 2018 - 19:00 IWST

Migas Ilustrasi
Migas Ilustrasi

INDUSTRY.co.id - Jakarta - Announcement of Working Area Auction (WK) Conventional Oil and Gas Year 2017 has proved Gross Split scheme increasingly attract investors. This is marked by the participation of large companies in the management of upstream oil and gas with Gross Split scheme.
"I reiterate that this is what wins with the Gross Split scheme of big companies, not small companies, which take these blocks of companies that really want to invest and have those three things, finance, technically and legally okay," said Arcandra on event Winners Announcement of the Conventional WK Offering of Oil and Gas at Ministry of Energy and Mineral Resources, Wednesday (31/1/2018).
Implementation of Gross Split scheme for large companies in upstream oil and gas will facilitate the business so as to make management efficiency.
"Our position is now promoting Gross Split instead of others, Gross Split will make ease of doing business better and we talk about efficiency and effectiveness with Gross Split," he said.
Furthermore, Arcandra also expressed his appreciation for the auction time process faster than usual. "Usually it takes two, three, four to six months, for this auction I target one month after closing we announced the winner," said Aracandra.
In addition, as long as the WK offerings are done transparently. "The process is all transparent, there is a judgment on why he won, all of these processes can be accepted by all parties," he said.
As is known, the Government announced 5 companies winning auction Conventional WK Phase I of 2017. Total investment value of USD 23.5 million and signature bonus of USD 3.5 million.
The five companies are Mubadala Petroleum (SE Asia) Ltd with Andaman I working area, Premier Oil Far East Ltd Consortium, Kriss Energy (Andaman II) BV, Mubadala Petroleum (Andaman II JSA) Ltd with Andaman II work area, PT Tansri Madjid Energy with the work area of ​​Merak-Lampung and PT. Saka Energi Sepinggan with work area of ​​Pekawai and West Yamdena.
The auction was extended to four times since the end of May 2017 pending approval of Government Regulation (PP) related to the Gross Split Taxation issued at the end of December 2017 (PP No. 53/2017).

News Comment

Today's Industry

Launch of OKINO C100, tiny vape with O-Tape Coil technology. (Photo: OKINO Public Relations)

Kamis, 29 September 2022 - 15:38 WIB

OKINO C100, Tiny Vape With O-Tape Coil Technology

The consumption of e-cigarettes in Indonesia continues to increase. The Indonesian Personal Vaporizer Association (APVI) estimates that there are currently 2.2 million e-cigarette (vape) users.…

EH Free Swinging Hinges

Kamis, 29 September 2022 - 12:00 WIB

Southco Introduces Free-Swinging Hinges in New Materials to Meet Demanding, Heavy-Duty Applications

Southco Asia Ltd., a subsidiary of Southco Inc., a leading global provider of engineered access solutions such as locks, latches, captive fasteners, electronic access solutions and hinges/ positioning…

President Jokowi distributes direct cash assistance in South Buton regency, Southeast Sulawesi province, Tuesday (09/27). (Photo by: BPMI Presidential Secretariat/Laily Rachev)

Rabu, 28 September 2022 - 21:50 WIB

President Jokowi Distributes Assistances in South Buton

President Joko “Jokowi” Widodo Tuesday (09/27) distributed direct cash assistance (BLT) for fuel for beneficiaries of Family Hope Program (PKH) at Batauga post office, South Buton regency,…

President Jokowi at the inspection at PT Wika Bitumen, Buton regency, Southeast Sulawesi province, Tuesday (09/27). (Photo by: BPMI Presidential Secretariat/Laily Rachev)

Rabu, 28 September 2022 - 19:00 WIB

President Jokowi Pushes for Revival of Asphalt Producing Industries in Buton

President Joko “Jokowi” Widodo Tuesday (09/27) expressed hope to Buton regency, Southeast Sulawesi province to maximize its potential so it can re-emerge as an asphalt-manufacturing industrial…

KRAIBURG TPE presents THERMOLAST® R

Rabu, 28 September 2022 - 17:00 WIB

KRAIBURG TPE to campaign in Düsseldorf: The focus is on sustainable products and discussion

To ensure that customers of KRAIBURG TPE always achieve the best result, individual materials solutions are developed for many requested applications. The result: Right in time for the 2022…