DPR The Value Is Wrong With The Mechanism Of Assigning Pertamina As Termination Block Operator

By : Hariyanto And Aldo Bella Putra | Saturday, April 07 2018 - 22:00 IWST

Pertamina (Foto: Ist)
Pertamina (Foto: Ist)

INDUSTRY.co.id - Jakarta - The government decides to divest the management portion of the 8 termination blocks that end this year. The plan, the block submitted to PT Pertamina (Persero) and selected partners.
In response to this, House Commission VII Member, Kardaya Warnika said there is something wrong with Pertamina's assignment mechanism as termination block operator. This, according to him will disrupt the investment climate in the upstream sector of oil and gas.
Moreover Directorate General of Oil and Gas Ministry of Energy and Mineral Resources launch 26 blocks of oil and gas that will expire contract from 2018 until 2026. "There are two other causes such as the depleted oil capacity and the unattractive investment climate," Kardaya said in Jakarta on Saturday (7/4/2018).
He considered that the oil and gas investment climate in Indonesia is increasingly not conducive to Pertamina's establishment automatically as the terminating oil and gas block operator.
The reason, KKKS require legal certainty before deciding to invest a large amount of new investment will return in the long term. "This is still a problem plus the revision of the Oil and Gas Law (UU) is still unclear, consequently investors are waiting and can switch elsewhere," he said.
Kardaya added, the appointment of Pertamina as termination block operator also has the potential to harm the SOEs. "If it fails to manage the block, it will certainly disrupt the performance of the company, they should be able to reject and conduct the study first if it is offered as an operator, but as a state-owned company, Pertamina will inevitably have to accept orders from the government." (in / ipe)

News Comment

Today's Industry

Bentley Systems Announces the Availability of OpenBuildings Station Designer

Minggu, 19 Mei 2019 - 14:58 WIB

Bentley Systems Announces the Availability of OpenBuildings Station Designer

Bentley Systems, Incorporated, the leading global provider of comprehensive software and digital twins services for advancing the design, construction, and operations of infrastructure, today…

Ponemon Institute

Selasa, 16 April 2019 - 11:16 WIB

2019 Ponemon Study on Automation and Cybersecurity Staffing in Asia Pacific, United States and the UK shows an evolving Asia Pacific cybersecurity arena

2019 Ponemon Study on Automation and Cybersecurity Staffing in Asia Pacific, United States and the UK shows an evolving Asia Pacific cybersecurity arena

Hypertherm software

Selasa, 16 April 2019 - 10:57 WIB

Hypertherm Unveils New Home for Cam Software Content

Hypertherm unveils new home for CAM software content HANOVER, N.H. — April 16, 2019 — Hypertherm, a U.S. based manufacturer of industrial cutting systems and software, is unveiling a brand-new…

Etihad Airways airline (Foto Ist)

Kamis, 11 April 2019 - 12:44 WIB

ETIHAD AIRWAYS TO INTRODUCE BOEING 787 ON SERVICES TO KUALA LUMPUR AND BRUSSELS

ETIHAD AIRWAYS TO INTRODUCE BOEING 787 ON SERVICES TO KUALA LUMPUR AND BRUSSELS

Synopsys Recognized as a Leader in Independent Analyst Report on Software Composition Analysis Solutions

Kamis, 11 April 2019 - 12:34 WIB

Synopsys Recognized as a Leader in Independent Analyst Report on Software Composition Analysis Solutions

Synopsys Recognized as a Leader in Independent Analyst Report on Software Composition Analysis Solutions