Government Completes Master Plan for Development of Masela Block

INDUSTRY.co.id - Jakarta - The government through the coordination of the Coordinating Ministry for the Ministry of Marine Affairs continues to work on completing the "master plan" for the development of the Masela Block, especially the development of upstream, downstream and regional industries.

Deputy of Infrastructure Coordination Coordinating Ministry of Maritime Affair Ridwan Djamaludin in Kemaritiman Ministry of Transportation on Monday (5/3/2018) explained that the government is preparing several derivatives of Government Regulation (PP) which is expected to become a reference in investment in Masela Block.

"So it will be integrated between oil and gas industry and downstream industry," he said.

Masela Block is included in 37 National Strategic Projects (PSN), as stipulated in Presidential Regulation No. 58 of 2017.

In the process of preparing the main plan, Ridwan said that technical processes such as engineering design are being done. There is also a downstream industry scheme being prepared by the Ministry of Industry, namely petrochemical industry and fertilizer industry.

Ridwan explained that the "master plan" of development includes strengthening the participation of local communities to participate in the management of oil and gas blocks located in the waters close to the Tanimbar Islands, West Southeast Maluku Regency.

"Then for the involvement of local communities, such as the strengthening of universities as applied by Patimurra University also continues to be done," he added.

Kemenko Kemaritiman itself has duties and functions in preparation of "master plan" development of Masela Block.

First, is because of the technical ministry under the coordination of the Ministry of Maritime Affairs, namely the Ministry of Energy and Mineral Resources and the Ministry of Marine Affairs and Fisheries.

Secondly, the Ministry of Maritime Affairs as part of the Committee for the Acceleration of Provision of Infrastructure Priority (KPPIP) in accordance with Presidential Regulation No. 75 of 2014 has authority in decision-making, involvement in the project since the planning stage and capacity building of human resources.

Within the KPPIP's organizational structure, Kemenko Maritime is given the authority to monitor and 'debottlenecking' project issues in the energy and transportation sectors.

"In the preparation of the master plan, the development of Masela Block, besides the national oil and gas spatial, there is also the development of the region, the location is mostly the archipelago so not only the land, so the scope is indeed the scope of the Coordinating Ministry of Maritime and another, Kemenko Maritim as part of KPPIP and Mr. Menko Maritim Luhut Pandjaitan sit as vice chairman," he explained as quoted by Antara.

There are also related prospective buyers; Ridwan admitted there has been no discussion about it.

"Not until there, had just agreed to prepare both the technical aspects, economic and regulation," he said.

The coordination meeting for the development of the Masela Block master plan will be simultaneously implemented so that from time to time, preparations and readiness for the development of oil and gas fields are targeted to produce 421 million cubic feet per day (mmscfd) and 8,400 barrels of oil per day (bopd ), will continue to be monitored.

Although not targeting when it will be completed, Ridwan hope the government position is clear when later President Jokowi met with the Japanese who became one of the oil and gas block operators.

"We are trying to make it happen that if the President meets the Government of Japan, the position of our government is clear," he said.

Harmonization of cross-sectoral planning, both upstream, downstream and regional development in accordance with President Joko Widodo's order that the Masela Block can have a double impact that can be directly felt by the community.